According to a tip a reader sent in after noticing a mention of this issue from CollectionsCreditRisk.com the following State of Maryland press release was found.
Maryland Commissioner of Financial Regulation Suspends Collection Agency Licenses of LVNV Funding, LLC and Resurgent Capital Services
BALTIMORE, MD (October 28, 2011) – The Maryland Department of Labor’s (DLLR) Office of Financial Regulation (FinReg) announced today that summary orders to cease and desist and summary suspensions of collection agency licenses were issued this week in a case against LVNV Funding LLC and Resurgent Capital Services L.P.
“The Department of Labor protects Marylanders against fraud and from the risk posed by unlicensed creditors, lenders and collectors,” said Maryland Labor Secretary Alexander M. Sanchez. “I applaud the Office of Financial Regulation for their proactive work to defend Maryland’s consumers.”
The State Collection Agency Licensing Board (Agency) in FinReg has found grounds to allege that LVNV Funding LCC and Resurgent Capital Services L.P. engaged in acts or practices constituting violation of the Maryland Collection Agency Licensing Act (MCALA), the Maryland Consumer Debt Collection Act (MCDCA) and the Fair Debt Collection Practices Act (FDCPA). The Agency determined that public welfare requires that the Maryland collection agency licenses of LVNV Funding LLC and Resurgent Capital Services L.P. be suspended, effective immediately, and that it is in the public interest that both companies immediately cease and desist from the collection of consumer claims from Maryland residents.
“Consumer debt purchasers are increasingly using the court system to pursue consumer claims in default,” said Deputy Commissioner Anne Balcer Norton. “It is the objective of the Office of the Commissioner of Financial Regulation to ensure that businesses involved in this type of debt adhere to licensing requirements and the Maryland Rules of Civil Procedures, as well as to the federal and State debt collection laws.”
Based on the Agency’s investigation, LVNV Funding LLC and Resurgent Capital Services L.P. over the last six years have attempted to collect on consumer claims in default by filing at least 27,522 actions in State courts throughout Maryland, the majority of which were filed prior to the respondents obtaining proper licensing. Additional violations include, but are not limited to, the following:
- Knowingly filing false, deceptive or deficient affidavits with regard to the affiant’s personal knowledge of the consumer’s claim;
- Intentionally misrepresenting the amount of the consumer claims and collecting impermissible compound interest;
- Knowingly collecting unauthorized attorney’s fees and prejudgment interest at unauthorized rates; and
- Filing cases which the relevant assignment documents evidence that LVNV did not have valid title of the consumer claims at issue.
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7 thoughts on “LVNV Funding and Resurgent Capital Services Lose Ability to Collect from Maryland Residents”
I had success beating this company by filing a complaint with the Better Business Bureau in Greenville South Carolina where they were located. I had to really push and go back and forth a bit but the responses were quick and I ended up with a letter from Resurgent that the account was not mine.
HI Susan – I’m having the same issue with Resurgent, do you mind sharing how you went about filing and getting the documentation to support the dispute?
I found the practices of Resurgent Capital / lvnv funding to be highly suspect. Resurgent tried to get me to wire them a large sum of money and when they thought I might, immediately had the account information ” changed ” on my personal credit report, showing the “account” had been sold. That way if they got my money, they could claim they no longer “owned” the account. When they realized I hadn’t been duped into sending them money, the account data mysteriously was quickly changed agaain on my credit report within 4 gays, stating that lvnv funding again “owned” the account. I believe their underhanded practices should be closed in Nevada and several additional states.
Wow Interesting findings here today !
I am living in Michigan and Having problems with these people too
I had a judgement Thur the court and now the Attorney that was on the case is not cashing my agreed payments thru a judgment thru the court that i had to go to court on since April 2012 my regular payment’s have been made all the way back to 11- 2006 that is alot of payments i have made to the law firm that has been handling the case over the years and now when i called to find out way the check has not been cashed they told me the company recalled it when the judgement was agreed to in court with payment by the 15th of the month which i have been doing all along now all the sudden they will be sending payment back to me when i am paying it every month
i feel this is un just to me when i am making these payments as told to me by the court here in Michigan also the law firm doesn’t want to write or deal with the court on this matter here so i feel the judgement was wrongfully brought against me to make me look bad and further more I have never seen the documents that i owe these people money because the debt was payed off long ago and they wont prof nothing to me here! which is not fair to me and my rights in Michigan. According to the court they tell me my payments must go to the Law firm only to the agreement we made in court here
not to anyone else now today i get a letter stating from Resurgent capital for the amount of over 9,000.00 which is very wrong here and they have many previous people on the creditor list with it which doesn’t make any since at all and if a judgement is being meet to the attorney then they have no case against me they cant collect twice on the same bill allegedly they say i owe . this is what is happening in Michigan to me and i dont like it either ! when you call the one number you cant even talk to anyone and they are trying to get information from you to build a case against you ! so sad this is what people have to do to low income people here ! Kat
If you fee the amount owed is wrong you should feel free to ask them to validate the debt. You can use this post as a guide. https://getoutofdebt.org//43151/debt-validation-finally-defined-what-you-should-ask-a-collector-or-creditor-for-to-validate-a-debt
They may not do it since they may say you already agreed to the debt amount as a result of the previous actions. But you may also want to consider finding a NACA.net consumer attorney that is licensed in your state.
I have been having problems with LVNV. I keep disputing the VOD with the 3 Credit Bureaus.
LVNV opened a new account in my name in August. In Nov they reported a major deliquency. It has been a month since I first reported LVNV, Security Capital Services and Midland Credit. (In 2009 I sent a letter to Midland, it remained on the report but as disputed, now it resurfaced. It appears that once I initiated a dispute they came out of the woodwork. Now I received a notice from Resurgent Capital regarding my dispute with LVNV. Asking me what I was disputing and that they were the parent company. Isn’t that what the 3 Bureaus do? I haven’t a clue what to do next. Should I contact the 3 Credit Bureaus.
Also another culprit is Portfolio Recovery and I don’t know how they do it but they validate with the bureaus. Although one PR account was deleted.
About 2 weeks ago, I received numerous calls from Asset Management for someone else. They finally stopped calling.
I also received a call from someone, I answered the phone thinking it was a local call, and they were looking for someone, whom I happened to know. they said she gave me this number as her home number, I told her she doesn’t live here but not sure where she is haven’t spoken to her in years.
Later, it was still bothering me and I called the number back only to find out it was another sleezeball agency looking to collect a debt from her.
The one bureau that seems to be the worst is Equifax. . The first agent to help me was offshore and had no idea what I was talking about. The second agent could not tell me what the SOL was in NJ, and what date they will drop off. She referred me to the fraud division, I asked if a fraud alert or security freeze would help and the woman said, I suggest you pay your bills on time. I todl her she was out of line and not what I expected to hear from when inquiring about a fraud alert.
What they are trying to collect is old debt that was charge off and reaching the SOL.
I cannot understand why Equifax does nothing to protect the consumer, while TransUnion and Experian go out of their way to help.