Victims Of Debt Collection Scam To Start Receiving $4M In Refunds From FTC

80 voda trika

(Earth2Kim)

More than a year after the Federal Trade Commission settled charges with a massive debt collection operation that extorted payments from consumer using false threats, those affected by the deceptive practices are finally seeing a bit of restitution in the form of checks totaling $4 million.

The FTC announced today that it is in the process of returning $4 million to the victims of Asset Capital and Management Group’s illegal debt collection operation.

Last May, Asset Capital and Management Group settled FTC charges that it used a sprawling network of intertwined companies and dozens of fictitious names to illegally extract payments from consumers for credit card debt that it had purchased from creditors.

According to the FTC’s complaint [PDF], the company posed as process servers in calls to consumers and third parties, falsely threatened consumers with lawsuits, wage garnishment, seizure of their property, and arrest, and disclosed debts to consumers’ employers, colleagues, and family members.

In addition to paying $4 million in restitution, the company was banned from the debt collection industry.

People who receive checks from the FTC – through Analytics Consulting LLC – are asked to deposit or cash them within 60 days.

Consumers who receive checks and have questions can contact Analytics at 1-855-312-3324. More information about the FTC’s refund program is available on the FTC’s website.

FTC Returns Almost $4 Million to Consumers in Debt Collection Scam [Federal Trade Commission]

by Ashlee Kieler via Consumerist