- Report: #67406
Complaint Review: Capital Recovery - Logan Utah
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Author Not Confirmed
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Capital Recovery
2906 S. Highway 89/91 Logan, 84321 Utah, U.S.A.
Phone:
435-787-0175
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Capital Recovery, Lisa Madsen - Owner/Operator Fraudulant FHA/HUD Tracer, Illegal Contracts, Misrepresentation and Abuse Logan Utah
*REBUTTAL Owner of company: We are not an illegal business. Our business was established by Congress because HUD was so bad at returning the homeowners funds.
*Consumer Suggestion: Congress Did not establish the Tracer Business it allocated funds
*Consumer Suggestion: Congress Did not establish the Tracer Business it allocated funds
*Author of original report: settle our dispute amicability and without incident
*REBUTTAL Owner of company: This issue has been resolved
*Consumer Comment: More info on the HUD / FHA refund tracer SCAM. **READ THIS FIRST**
Capital Recovery sends unsolicited letters to people who are owed refunds from the US Department of Housing and Urban Development. In these letters, Lisa Madsen claims to be a professional tracer in the business of finding lost monies. She claims her research shows you are owed money from the "government." She offers to assist in recovering this money for a 25% fee. She makes a very strong statement about being very good at solving problems and reclaiming these funds. She leads you to believe there is no risk in engaging in her services, claiming there is no fee if she's unsuccessful. At the end of the letter, she asks that you sign the enclosed agreement and a tracer found case form.
These letters are illegal! She intentionally fails to mention which division or branch of the government is holding money in your name. She also intentionally fails to mention that her services are not required in order to receive these refunds. She misrepresents herself as somebody who is very good at solving problems. On the contrary, if you need to speak to her about a dispute, she simply refuses to take your call or fails to show in court. Her claim in regards to "no-charge" if she's not successful is also false. I suspect there are many cases where refunds were issued where she did nothing by way of assistance, but she still demands payment.
The services offered by Lisa Madsen and Capital Recovery are of absolutely no value to consumers. Recently, HUD issued a consumer alert warning the public to be aware of people (known as "tracers") offering to help you collect your refund for a fee. You do not need to hire someone to collect your money. HUD has stepped up efforts to locate homeowner's owed FHA premium refunds, awarding Walker and Company LLP a contract to assist the FHA in finding homeowners who are owed money. This new contract basically categorizes companies like Capital Recovery as unnecessary and irrelevant. Lisa Madsen knows this, so in order to stay in business, she has to use trickery and fraud in order to get signatures on her agreements.
In my case, I received one of Capital Recovery's letters from Lisa Madsen. She made claims about the "government" holding money in my name and that she would assist me in recovering the funds. She stated that if she wasn't successful, I would owe her nothing. Based on Lisa's statements - not knowing which branch of the government she was referring to and believing I needed to hire somebody such as her to receive a refund - I signed the agreement.
Almost two years passed before I heard again from Capital Recovery. During this two year wait, my wife was speaking to somebody at work who mentioned he was receiving a refund from HUD for the premium mortgage insurance he had on his HUD house before he sold it. Knowing we had a HUD home at one time, my wife made a phone call to HUD. After taking my wife's call, HUD sent us a FHA Mortgage Insurance Premium Refund request form. We completed this form and mailed it in. HUD followed up with an Application for Premium Refund, which we completed, had notarized, and then sent back in. An agent from FHA responded to our application with a letter requesting a copy of legal documentation that we had owned the home. He needed the Warranty Deed on the house.
It was at this time Capital Recovery sent a letter threatening me to pay the fee ($215) for their assistance, otherwise they were going to seize my property, garnish my wages and destroy my credit rating. I called Capital Recovery and asked to speak to Lisa Madsen, but she wouldn't take my call. I was able to speak to somebody in their customer service department. I explained to this person that I had not yet received a refund from HUD. I informed him that I needed to provide the warranty deed before a refund could be issued. I said to this that if Capital Recovery would get a copy of the warranty deed and send it into HUD, we would be happy to pay their fee. After out telephone conversation, I faxed all my documentation to Capital Recovery. However, before the call ended, I requested an apology from Lisa Madsen, but I was denied.
Six months passed after providing Capital Recovery with all the necessary documentation, but no word yet from HUD or Capital Recovery. So, one day on my lunch break, I went to the County Recorders office and purchased a copy of the warranty deed. After my wife faxed it into HUD, we received the refund less than a month later.
Six months after receiving the refund, Capital Recovery sent a bill for their services. I called Capital Recovery after receiving the bill and asked to speak to Lisa Madsen, but again she would not take my call. I was transferred to somebody in their collections department. I indicated to this person that they did absolutely nothing to assist me in receiving this refund, so I wasn't going to pay. He responded that they would then turn the file over to a collection agency.
Once I received the collection letter, I responded that the debt was invalid and to leave me alone. I waited for Capital Recovery to sue me, but they never did. Instead, they put a collection debt write-off on my credit report. I discovered what they had done when applying for a home loan. In order to get the loan, the lender required me to pay Capital Recovery off. I paid them then filed a small claims case against them in an attempt to get my money back and to clear up my credit report.
On our court date, Lisa Madsen failed to appear, so I was awarded judgment against Capital Recovery. She has since appealed the judgment, but a new court date is months away. In the meantime, I have a late payment collection debt write-off on my credit report and I'm out over $1,000 in direct costs due to Capital Recovery's fraudulent and mean-spirited business practices.
John
Syracuse, Utah
U.S.A.
These letters are illegal! She intentionally fails to mention which division or branch of the government is holding money in your name. She also intentionally fails to mention that her services are not required in order to receive these refunds. She misrepresents herself as somebody who is very good at solving problems. On the contrary, if you need to speak to her about a dispute, she simply refuses to take your call or fails to show in court. Her claim in regards to "no-charge" if she's not successful is also false. I suspect there are many cases where refunds were issued where she did nothing by way of assistance, but she still demands payment.
The services offered by Lisa Madsen and Capital Recovery are of absolutely no value to consumers. Recently, HUD issued a consumer alert warning the public to be aware of people (known as "tracers") offering to help you collect your refund for a fee. You do not need to hire someone to collect your money. HUD has stepped up efforts to locate homeowner's owed FHA premium refunds, awarding Walker and Company LLP a contract to assist the FHA in finding homeowners who are owed money. This new contract basically categorizes companies like Capital Recovery as unnecessary and irrelevant. Lisa Madsen knows this, so in order to stay in business, she has to use trickery and fraud in order to get signatures on her agreements.
In my case, I received one of Capital Recovery's letters from Lisa Madsen. She made claims about the "government" holding money in my name and that she would assist me in recovering the funds. She stated that if she wasn't successful, I would owe her nothing. Based on Lisa's statements - not knowing which branch of the government she was referring to and believing I needed to hire somebody such as her to receive a refund - I signed the agreement.
Almost two years passed before I heard again from Capital Recovery. During this two year wait, my wife was speaking to somebody at work who mentioned he was receiving a refund from HUD for the premium mortgage insurance he had on his HUD house before he sold it. Knowing we had a HUD home at one time, my wife made a phone call to HUD. After taking my wife's call, HUD sent us a FHA Mortgage Insurance Premium Refund request form. We completed this form and mailed it in. HUD followed up with an Application for Premium Refund, which we completed, had notarized, and then sent back in. An agent from FHA responded to our application with a letter requesting a copy of legal documentation that we had owned the home. He needed the Warranty Deed on the house.
It was at this time Capital Recovery sent a letter threatening me to pay the fee ($215) for their assistance, otherwise they were going to seize my property, garnish my wages and destroy my credit rating. I called Capital Recovery and asked to speak to Lisa Madsen, but she wouldn't take my call. I was able to speak to somebody in their customer service department. I explained to this person that I had not yet received a refund from HUD. I informed him that I needed to provide the warranty deed before a refund could be issued. I said to this that if Capital Recovery would get a copy of the warranty deed and send it into HUD, we would be happy to pay their fee. After out telephone conversation, I faxed all my documentation to Capital Recovery. However, before the call ended, I requested an apology from Lisa Madsen, but I was denied.
Six months passed after providing Capital Recovery with all the necessary documentation, but no word yet from HUD or Capital Recovery. So, one day on my lunch break, I went to the County Recorders office and purchased a copy of the warranty deed. After my wife faxed it into HUD, we received the refund less than a month later.
Six months after receiving the refund, Capital Recovery sent a bill for their services. I called Capital Recovery after receiving the bill and asked to speak to Lisa Madsen, but again she would not take my call. I was transferred to somebody in their collections department. I indicated to this person that they did absolutely nothing to assist me in receiving this refund, so I wasn't going to pay. He responded that they would then turn the file over to a collection agency.
Once I received the collection letter, I responded that the debt was invalid and to leave me alone. I waited for Capital Recovery to sue me, but they never did. Instead, they put a collection debt write-off on my credit report. I discovered what they had done when applying for a home loan. In order to get the loan, the lender required me to pay Capital Recovery off. I paid them then filed a small claims case against them in an attempt to get my money back and to clear up my credit report.
On our court date, Lisa Madsen failed to appear, so I was awarded judgment against Capital Recovery. She has since appealed the judgment, but a new court date is months away. In the meantime, I have a late payment collection debt write-off on my credit report and I'm out over $1,000 in direct costs due to Capital Recovery's fraudulent and mean-spirited business practices.
John
Syracuse, Utah
U.S.A.
6 Updates & Rebuttals
Steve
Bradenton,Florida,
U.S.A.
More info on the HUD / FHA refund tracer SCAM. **READ THIS FIRST**
#2Consumer Comment
Fri, October 31, 2008
HUD has an official warning out to warn people of this SCAM. Here it is right from HUD: http://www.hud.gov/offices/hsg/comp/refunds/alerts.cfm DO NOT pay anyone for any reason to be a "HUD / FHA refund tracer". This is total NONSENSE! Those lists are so old that most people have moved several times and/or are dead! And, once you notify them of the "refund" due them, they bypass you and you get NOTHING!! I tried this thing myself about 19 years ago, and it sucked then! FYI..These types of loans in general have not been issued since the early 80's on which these refunds apply. AND, there is a 6 year statute of limitations on getting your HUD / FHA refund from the government. Check out the lists for yourselves, ALL of the names on the lists that are due refunds are at least 10 years old! How do you spell SCAM However, people like Matt Williams at EagleSoftwareServices .com will repeatedly advertise "jobs" on Craigslist and other free job boards on this fantastic "JOB". Don't fall for it. Do your homework on this thing in general, and on Mr. Williams.
Lisa
Logan,Utah,
U.S.A.
This issue has been resolved
#3REBUTTAL Owner of company
Thu, December 11, 2003
I agree wholeheartedly with Mr Wojciehowski. This issue has been resolved and I believe that both parties are satisfied with the result.
John
Syracuse,Utah,
U.S.A.
settle our dispute amicability and without incident
#4Author of original report
Wed, December 10, 2003
I am pleased to announce Lisa Madsen and I were able to settle our dispute amicability and without incident. I wish her and her company all the best and look forward to putiing this situation behind us.
Kent
Sandy,Utah,
U.S.A.
Congress Did not establish the Tracer Business it allocated funds
#5Consumer Suggestion
Thu, November 13, 2003
First off to Lisa Congress Did not establish the Tracer Business it allocated funds to help in returning the funds to hud owners simply making this statment is enough to qualify you for fraud. the following are the two biggest mistakes of Hud Tracers Claiming that the Person must pay a fee to get the refund. people who contact HUD/FHA themselves get their entire refund without paying any fees or charges. Claiming that the tracer is part of, or authorized to act on behalf of the Federal Government. Any claim by an individual or firm that they are authorized by HUD, contracted with HUD or acting on HUD's behalf to do so is fraudulent. HUD has no "Refund Tracer Program." John dont even play with these people simply report them to U.S. Dept. of Housing and Urban Development P.O. Box 23699 Washington, DC 20026-3699 1-800-697-6967 or simply report them online http://www.hud.gov/trace.cfm anyone going into the tracer business know's its a scam its simply a numbers game the same list is avaliable online. legaly they must tell you what department owes you the money. and to charge someone $215 dollars is hiway robery these people do nothing for you. that you couldnt have done your self. by them not disclosing who owed you the money so they could profit im sure this borderlines fraud check with hud and good luck to you.
Kent
Sandy,Utah,
U.S.A.
Congress Did not establish the Tracer Business it allocated funds
#6Consumer Suggestion
Thu, November 13, 2003
First off to Lisa Congress Did not establish the Tracer Business it allocated funds to help in returning the funds to hud owners simply making this statment is enough to qualify you for fraud. the following are the two biggest mistakes of Hud Tracers Claiming that the Person must pay a fee to get the refund. people who contact HUD/FHA themselves get their entire refund without paying any fees or charges. Claiming that the tracer is part of, or authorized to act on behalf of the Federal Government. Any claim by an individual or firm that they are authorized by HUD, contracted with HUD or acting on HUD's behalf to do so is fraudulent. HUD has no "Refund Tracer Program." John dont even play with these people simply report them to U.S. Dept. of Housing and Urban Development P.O. Box 23699 Washington, DC 20026-3699 1-800-697-6967 or simply report them online http://www.hud.gov/trace.cfm anyone going into the tracer business know's its a scam its simply a numbers game the same list is avaliable online. legaly they must tell you what department owes you the money. and to charge someone $215 dollars is hiway robery these people do nothing for you. that you couldnt have done your self. by them not disclosing who owed you the money so they could profit im sure this borderlines fraud check with hud and good luck to you.
Lisa
Logan,Utah,
U.S.A.
We are not an illegal business. Our business was established by Congress because HUD was so bad at returning the homeowners funds.
#7REBUTTAL Owner of company
Wed, November 12, 2003
Mr Wojchiehowski is false in his accusations except for one. We are not an illegal business. Our business was established by Congress because HUD was so bad at returning the homeowners funds. In the initial paperwork that is sent to the homeowner, it clearly states that the Department of Housing and Urban Development is not a party to any financial agreement between the Tracer (Capital Recovery) and the homeowner (Mr Wojciehowski). Had he thoroughly read the information provided to him initially, he would have found out which government department held his funds. We were successful in his case because his check was issued and it was issued a day after we faxed in the documentation to his certifier. Our services are valuable to the thousands of clients we help each year. Each person has a decision to make. Do they hire us or do they try to do it on their own? HUD did not recently issue the warning about Tracers. This has been a long standing warning. There are unscrupulous companies out there obtaining money and not sharing it with the rightful owner. We, on the other hand, have the check sent directly to the homeowner to alleviate any concerns that they might have about our company and we in turn trust that they will fulfill their obligation once that they receive their funds. We have produced telephone records for Mr Wojciehowski proving his claim false that we did not contact him for two years. The letter Mr Wojchihowski refered to from FHA was a letter from Andrew Sumbry which we requested that he fax to us and he stated that he would. He never did. We in turn submitted the correct documentation on 11/13/2001 and his check was issued on 11/14/2001. We gave Mr Wojckihowski several chances to pay the agreed upon fee before turning his case over to a collection agency. The one area that Mr Wojchiehowski was correct in was that the attorney that I hired did not show up for the court date and that he was awarded judgement. The new court date that he mentioned was not months away but weeks away and we dropped that pending his cooperation in getting court documents filed showing a satisfaction of the original judgement. His credit report was ammended in June, long before the original court date was filed. These are the facts and I have documentation for everything I have mentioned.
