If you or someone you know gets a phone call from someone claiming to be a debt collector for a payday loan, BEWARE. At least one such company is calling Montana residents and demanding that they send a payment immediately. The problem? The people they are calling have never taken out a payday loan.
As far as I can tell, this particular company says they are calling from the Civil Litigation Group or Civil Litigation Service, and that they are collecting for Cash Advance Service. I wouldn’t be surprised if they use other names though, too.
One of the main callers goes by the name of Jason Lee. I called Mr. Lee recently, to do a little investigating. He tried to claim that the person they had called must have been a victim of identity theft, and that someone had taken out the loan in her name. I don’t believe this for one second, and told him so. I think they are using to scare people into thinking they are responsible for a fake debt.
Even more concerning, I told him that my client had said he threatened to have her thrown in jail if she didn’t give them a payment. “Oh no,” he said. “That is not what we say. Our pre-recorded messages simply tell people that if they don’t pay, they may end up taking a trip downtown. That is all.” Um, I don’t know about you, but isn’t that the same thing? Just because you don’t use the word “jail,” doesn’t mean you aren’t breaking the law. Implying a “trip downtown” is most certainly the same thing.
These guys are real winners. Mr. Lee tried to explain to me that they were not breaking the law, and actually tried to explain the law to me as well. I was happy to inform him that he was talking to a lawyer and he was full of B.S., but what scares me is that the average Joe or Josie wouldn’t know that he was full of B.S. He sounded very convincing, if you didn’t know that he was dead wrong.
He ended up hanging up on me, which is fine, but not before he also promised to fax me the paperwork showing that my client owed this payday loan debt. Guess what never showed up in my office? That’s right.
If a debt collector calls you out of the blue demanding money for a debt you have never heard of, don’t even think about giving them a payment over the phone. Ask for verification of the debt in writing. Also, don’t give them any more personal information than what they already have. If they can’t verify it’s your debt based on the information they have, then they shouldn’t be calling you.
And if they just happen to leave a message threatening to send you on a trip downtown, please save that message and give me a call.
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Jessie Lundberg is a consumer law attorney in Missoula, Montana, currently serving as an Equal Justice Works AmeriCorps Legal Fellow with Montana Legal Services Association. In November 2012, she opens Lundberg Law Office, specializing in consumer protection litigation and bankruptcy. Read her full bio here.
This post does not constitute legal advice. It provides general information only. There is no guarantee that this information applies to your specific situation. If you need help protecting your financial legal rights, you should seek legal advice from an attorney about your specific situation. If you have low income, you may qualify for legal help through Montana Legal Services Association. You can find out how to apply here.
All opinions stated herein are personal and do not constitute the position of any organization or employer.
