I started getting phone calls from an agency called Nationwide Capital Recovery saying I owed $508 on a payday loan I took out in 2005. The first call started in November of 2010 (5 years later). I knew I had paid all my payday loans up, so I was floored. I called the agency and talked to a Samantha Smith. She claims I never finished paying the loan and now I am going to court, and I should make payment arrangements with her to avoid court. She also informs me that this is on my credit report. I hadn't seen this on my report, so I thought she was bluffing. I told her I paid all my loans off in 2005 and do not owe a penny. I asked her to send me the documents.
What I received was another document this time under a different name, Collection Professional Services out of Rancho Mirage, CA. But it is the same phone number. They attached a copy of what looks like a payday loan where I borrowed $300.00. They show that my bank account where the deducted each payday $84.00. The document they sent me shows that I paid $ $1,344.00 back on this loan (keep it mine, it was a $300.00 loan.) I suddently remembered this company, it was called American Webcash. I remember they kept deducting out of my account even well after the payday loan was paid off. I called them back in 2005 and asked why they are still deducting out of my account and they said I signed up for a "club." I told them I did not want to be part of this "club." I went down to my bank and closed the checking account back in 2005.
In the meanwhile, I check my credit reports and sure enough, there is a strange posting from yet a different name, Marauder Corp. same address in Indian Wells, CA. Stating I owe $508.00 on a rebate/ bad check. I disputed the information with Experian and it came back as valid debt owed. I called the Better Business Bureau and all they really do is mediate, and they said that I need to call the colleciton agency and work it out. I wrote the Attorney General, and received a form letter back. I called the Federal Trade Commission, and all they do is make a "report."
I am floored, I did not sign up for this "club." I paid back $1344.00 on a $300.00 loan. Isn't there any regulation or laws on what a payday loan company can do and not do. How can this so called colleciton agency be allowed to just post anything they want on my credit report. Why do they use different names everytime they contact me, and then post on my report under a different name? Is that legal? How can they call me 5 years later? IS that legal?
I will never pay this company another dime. I do not what to do to get this off my credit reports. Does anyone out there know what I can do and what my legal rights are?