i sent a debt validation request letter to the CA and got a letter from them today.
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Date:00/00/0000
My Name
Address
RE: Dispute Resopnse
Client: xxxxxxxxxxxxxx
File #: xxxxx
Dear: [My name]
Pursuant to your request please find enclosed the pertinent documents to support the above referenced matter.
You have 30 days to respond in writing if you dispute any portion of this debt. Should you fail to respond in that time period we shall assume the debt valid and continue collection efforts on behalf of our client.
If you do not dispute the debt please contact our office to make payment arrangements. For your convenience we offer check by phone and credit/debit card payments by phone. We expect your cooperation in resolving this matter amicably and look forward to working with you
Best Regards,
Collections Department.
--------------------------------------------------------- end
and the CA attached an invoice which they got from the OC (1 page)
Here is my question
is my debt validated?
what should i do ?
debt validation
Hi benwin,
Welcome to this community :)
Can you tell what's in the invoice? For more details on debt validation refer http://www.creditmagic.org/repair/sampleletter-debtvalidation.html .
Thanks,
Aaron
what documents did they send you?
the last invoice
The CA sent me the last invoice from the OC
------------------------------------------------------------------------------------
The OC address
Invoice
Date: xx/xx/xx , invoice #: xxxx
Bill to:
My Name
Address
Description------Qty-----Rate----- Amount
xxxx xxx xxxxxx -- 1 -- $ XXX.xx -- $ XXX.xx
xxxx xxx xxxxxx -- 1 -- $ XX.xx ---- $ XX.xx
Balance Forward ------ $XXXX.xx - $ XXXX.xx
_____________________________________________________
-----------------------------------Total $ XXXX.xx
------------------------Payment/Credits $ 0.00
------------------------BALANCE DUE $ XXXX.xx
the OC's phone #
XXX-XXX-XXXX
-------------------------------------------------------------------------------------
The invoice looks like this.
There is no signature
it's just a printed invoice.
interestingly, while a bill can show proof of a contract this does not.
when they send you copies of bills that show payments, it can be tough to say it's not yours because they can show that the payment came from your checking account by ACH or actually check.
is this your account?
Actually it was a business debt. After I closed my business (incorporated), they started sending bills under my name instead of business name. Also I never paid the debt by my personal check.
Business debt is not the same as personal debt and the FDCPA does not apply. This is the importance of getting business credit separate from your personal credit.
If the CA is sending invoices to you directly now, you prob. signed a personal guarantee (PG) when you opened the account. If you do not know for sure, this would be your next step - disputing the debt as your own and request a copy of the PG or removal of your name from the account.
Just know that the collection of a business debt does not follow the same rules as personal debt and the majority of the info on these types of forums does not apply to this particular situation.
I didn't sign any PG when i open the account.
Was your business incorporated or sole proprietor?
Incorporated
Then I would certainly dispute the debt with the CA and OC on the basis that it was the corporation's debt and not a personal debt. I would request they provide you with a copy of the signed PG and if they cannot do so, they need to remove your name from the account.
The contractual obligation is with the entity XYZ Corporation not you personally (as long as no PG was signed). They must collect from the corporation. You do need to know that they can they can go after the corporation and its assets including monies in bank account and/or business equipment/property.
You have to be aware that a debt collector can take the corporation to court and sue for a judgment/garnishment/seizure of property. They will send notifications to the registered agent of record and depending on state statutes, a judge may or may not find you liable for your company's debts. Each state is different.
What were your issue basically?
Refiance Home Loans