Palisades Collection, Scam smell. Changed name of original creditor on two letters!! Englewood Cliffs New Jersey
On January 13, 2006 Palisades Collection, L.L.C sent me a collection letter for a visa card with original creditor listed as Providian National Bank in the amount of 2395.18. Saying that this debt had been sold to them and that if the debt falls within the 7 year reporting period they intend to report to the various credit bureaus. This was a normal letter I get every 4-6 months from a different agency trying to collect on an expired debt from 1997. The scam smell came the 2nd letter when I opened it on February 15, saying that my original creditor was now International Portfolio Inc. Same account number debtor id and amount. The 2nd letter was a 50% discount opportunity saying that if I settle for half they will update my credit bureau profile as settled. So, essentially they are implying that they have reported this debt to my credit bureau(s) and that if I pay 1200.00 dollars they will update the debt. The reason I am a bit nervous about this letter is because why would they change the name of the original creditor. They know the debt is over 7 years old, 9 in fact so why would they now tell me If I pay half they will update my bureau. My lawyer was suppose to send them a cease and desist letter, which is how I deal with these pests, but he didn't get it out. He is supposed to be mailing them one today. My question is can they by changing the name of the original creditor somehow get this onto my pristine credit reports or is this just a tactic to get me to call to try to send them money. Why would they change the name of the original creditor? ANy uggestions or counseling would be appreciated. I have very good credit and if they somehow fraudulently put this expired debt on my report you guys may be reading about me in the paper! THanks for any advice.
Chris
Chris
deer park, New York
U.S.A.
10 Updates & Rebuttals
Steve
Bradenton,Florida,
U.S.A.
Chris, the info you wanted..
#11Consumer Suggestion
Fri, February 24, 2006
Yes, it is probably an automated letter that is meant to make you think they will take action and report negative on your credit. It is a scummy collection tactic.
Can they report it?..... YES
Will they report it?...... Probably
When will it happen?...... It depends on the reporting method they use. They may update files daily, weekly, monthly or quarterly. It depends on if they have an automated system or do it manually.
My suggestion is to pay for one of those 3 bureau credit guard plans for about $15 a month. You will be notified immediately of any action on your file, and you can access it online anytime, as much as you want.
A very good investment in your situation.
I do it to see who has bought my file and I send them the cease communication letter the same day they post my account on my credit report!
That really pisses them off!
If you stay on them, you should not have a problem.
Good luck
Chris
deer park,New York,
U.S.A.
One more quick question about Palisades?
#11Author of original report
Thu, February 23, 2006
I am not explaining myself perfectly clearly. My main question is this. As of today. I do not see this collection on my report. As I said before this item is from 1997. Any way, none of the previous collection agencies put it on my report. The first letter i got from palisades said they intend to report it if it falls within the 7 years period. the 2nd letter one month later said if i pay half they will update my credit profile. The questions are is this a bluff on their part being that it's not on my report today or is it possible they have filed a collection and it's not yet reported. When will I know. By the way i sent a cease communications later via my lawyer yesterday. When will I know if it will not be on my report. Typically when would it show up? Like after the first letter or the 2nd letter etcetera. Or should it be on there by now! This is really bugging me cause I have a good credit rating and I worked hard to get it. Please respond thanks again.
Mark
Houston,Texas,
U.S.A.
Cease And Desist Legal
#11Consumer Comment
Thu, February 23, 2006
Anyone can do a Cease and desist letter, just make the letter that there will be no more communications to the collection agency also most collection agencies guilty of fraud and Criminal Consumer Fraud= cease and desist. I have done that to various card collections when the credit card companies were found guilty in federal district courts under differant class actions.
When you do a cease and desist letter make copies for your self, cause many have numnerous agencies all coneected to themselves.
Mark
Susan
Claremont,New Hampshire,
U.S.A.
Cease Communications
#11Consumer Suggestion
Thu, February 23, 2006
Just go to www.budhibbs.com . There is a link to a Cease Communications Letter where you can just add your own info. Couldn't be easier!
Steve
Bradenton,Florida,
U.S.A.
An answer for Chis.... to your last question..
#11Consumer Suggestion
Thu, February 23, 2006
Chris,
In answer to your question, YES they can put it on your credit report, and it has nothing to do with the original creditor being listed.
The original creditor was totally out of the picture on the date they charged off the account. At such time that charge off was sold, the debt buyers were collecting for themselves, not the original creditor.
They are using this as a coercion technique to get you to pay a debt that they know to be uncollectable. They know they cannot legally sue you in court and they know they can not win unless you default.
Have fun with these idiots like I do, let them file the lawsuit! It is very unlikely they will, but I always force them to spend more time and money on something they will never collect.
Report them to the FTC and also on the BudHibbs website, as there is a large action against Palisades going on right now for this same crap.
You can sue them for FDCPA violations and easily win. It is up to $1000 per violation plus costs to you. It is a sure win because of bad past history.
Don't stress over them, if they ruin your credit with malicious intent, you can sue them for that too, and that is a big payday!
Make some money off of this situation!
Chris
deer park,New York,
U.S.A.
quick question follow up!
#11Author of original report
Thu, February 23, 2006
I appreciate the expedious reply. I thought it was a cease and desist letter. Okay, cease communications letter. My other question is. This item is not on my credit report as of now. Can they some how get it on there even though it's from 1997. They had the original creditor right on the first letter, but changed it on the second letter. Do you think that was a tactic to put this on my bureaus. The letter implied that if I settled with them they would update my report to settled, but as far as I know right now it's not on my buruea. So there tactic is to imply that it's on the burueau or do they try to get these on your bureaus. That's my main concern. CAn they somehow get it on your burueau by changing the name of the original creditor?
Thanks again
Chris
deer park,New York,
U.S.A.
quick question follow up!
#11Author of original report
Thu, February 23, 2006
I appreciate the expedious reply. I thought it was a cease and desist letter. Okay, cease communications letter. My other question is. This item is not on my credit report as of now. Can they some how get it on there even though it's from 1997. They had the original creditor right on the first letter, but changed it on the second letter. Do you think that was a tactic to put this on my bureaus. The letter implied that if I settled with them they would update my report to settled, but as far as I know right now it's not on my buruea. So there tactic is to imply that it's on the burueau or do they try to get these on your bureaus. That's my main concern. CAn they somehow get it on your burueau by changing the name of the original creditor?
Thanks again
Chris
deer park,New York,
U.S.A.
quick question follow up!
#11Author of original report
Thu, February 23, 2006
I appreciate the expedious reply. I thought it was a cease and desist letter. Okay, cease communications letter. My other question is. This item is not on my credit report as of now. Can they some how get it on there even though it's from 1997. They had the original creditor right on the first letter, but changed it on the second letter. Do you think that was a tactic to put this on my bureaus. The letter implied that if I settled with them they would update my report to settled, but as far as I know right now it's not on my buruea. So there tactic is to imply that it's on the burueau or do they try to get these on your bureaus. That's my main concern. CAn they somehow get it on your burueau by changing the name of the original creditor?
Thanks again
Chris
deer park,New York,
U.S.A.
quick question follow up!
#11Author of original report
Thu, February 23, 2006
I appreciate the expedious reply. I thought it was a cease and desist letter. Okay, cease communications letter. My other question is. This item is not on my credit report as of now. Can they some how get it on there even though it's from 1997. They had the original creditor right on the first letter, but changed it on the second letter. Do you think that was a tactic to put this on my bureaus. The letter implied that if I settled with them they would update my report to settled, but as far as I know right now it's not on my buruea. So there tactic is to imply that it's on the burueau or do they try to get these on your bureaus. That's my main concern. CAn they somehow get it on your burueau by changing the name of the original creditor?
Thanks again
Steve
Bradenton,Florida,
U.S.A.
Chris, you really don't need to pay a lawyer to send that simple letter!
#11Consumer Suggestion
Thu, February 23, 2006
And..FYI..It is a CEASE COMMUNICATIONS letter, NOT a Cease and Desist letter. Under the FDCPA there is no such thing as Cease & Desist. That is the wording of CA law, and applies only to CA.
DO NOT pay them anything. Keep in mind that even if you paid it, it would now show as a paid collection and be on your credit report for 7 more years from date paid.
There is nothing to be nervous about, that debt has been sold so many times they dont even know who the original creditor is, much less being able to prove the debt.
The SOL in NY is 6 years which makes the debt totally uncollectable anyway, it doesnt matter who now owns it.
Dont even waste your time with them, and certainly don't pay a lawyer anything. That letter can be written in about 3 minutes, Send it by certified mail, return reciept requested, and put the certified # on the letter itself. Keep a copy.