November 21, 2014
Las Vegas, NV – Nevada Attorney General Catherine Cortez
Masto wants consumers to be aware of debt collector scams.
“Consumers should be extra cautious about safe guarding their information and
know their rights when talking to a debt collector,” said Masto.
Consumers continue to receive calls from individuals posing as debt
collection agencies to collect on loans that the consumers never received or
amounts they do not owe. According to a 2014
report by the Consumer Financial Protection Bureau, one-third of complaints
from seniors are about debt collection.
If you believe you are victim of debt collector fraud:
Make sure they are who they say they are. Ask the
caller for their full name, company, address, and phone number. Refuse to
discuss your debt until you receive a written “validation notice”. The
notice will include outstanding debt balance, the name of the creditor you
owe, and your rights under the federal
Fair Debt Collection Practices Act.
Hang up. The IRS, your bank, other governmental
agencies nor the power company will call you about a debt or demand that you
provide information. They will always contact you by mail. Never pay anyone
claiming to be from the government as a result of such calls.
Do not give the caller your personal information. Do
not provide your full name, address, date of birth, mother’s maiden name,
full social security number, and other information such as your credit card,
pin, and security code. Any legitimate company will already have that
information.
Do not offer to make a payment on a debt more than six years
old. There is a statute of limitations with regard to such debts,
but if you offer to make a payment, the clock resets. Ask for information in
writing and consider whether or not to pay old legitimate debts.
Never succumb to demands to wire money to the debt collector.
No legitimate debt collector will demand that you wire money via
Western Union, MoneyGram or Green Dot Cards. Scammers use such wire
transfers since they are not traceable.
Stop harassing telephone calls. After obtaining the
address of the debt collector, write a letter demanding that any future
communications be by US Mail not by telephone or email. Make sure to send
the letter certified mail with return receipt and keep a copy of the letter
and certified mail receipt in your records. If you continue to receive
harassing phone calls, seek legal help in filing a complaint for violation
of the Federal Fair Debt Collection Act.
Get informed. There is a lot of free information from
both the Federal Trade Commission
www.ftc.gov and the
Consumer Financial Protection Bureau
www.consumerfinance.gov,
including information about your rights and sample letters to use when
communication with debt collectors. Always try to communicate with debt
collectors in writing and keep copies of all such correspondence. That way
you will have proof as to what transpired.
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