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Commercial Collections

Business Law discussions

Commercial Collections

Postby Rioghbhardan » Sat Oct 22, 2016 6:48 pm

I own a business in CA. We have done very well in being a debt free company until the past several months. We found oureslves in a situation that we were unable to pay back our suppliers in the time allowed. We have had constant communication with them and are doing our best to give them something regularly. Some of the companies had to refer us to outside collection agencies due to the contractual guidelines. I am not disputing any of the debt, nor do I not intend to pay it all off. We have just fallen prey to the economical hard times. One of the company commercial collection agencies is horrible! The collector is abusive, demeaning and will not accept payments. He treats me as though I am scum. I have told him on numerous occasions that he may no longer call me on the phone and that all communication must be in writing - email, fax or standard mail. He refuses. He still calls. I no longer take his calls or return them. I send emails to notify him that I won't return his calls and the reason being is that I won't tolerate his abuse. This man went as far as telling me that he would be sure that me and my children would be homeless! Mind you, I rent(he knows that) and this particular debt is $6,500, not worth a house! I also informed him to cease and desist in all phone calls - he emailed back stating that that was only for personal debt and commercial debt they can do what they want.  How can I get this guy to back off? He's as bad with his tongue as a loanshark that cuts off your fingers! Do business not have any protection under the law? I did call the original company I owe, and spoke with the credit manager - we already had an ongoing business relationship, and he was very quiet when I told him what was happening. He said they are not allowed to intervene once the collection agency gets involved. I have been forwarding him all of the emails and information and he's been accepting it.  I have tried working with this beast of a collector and I'm at my wits end. Can he be forced legally to stop harrassing me? My business is a joint partnership, these harrassments have also been towards my business partner as well.

ANSWER: Michele, it is a shame that you have had to be treated like this, but the collector is correct.  The Fair Debt Collection Practices Act only covers personal debt and not commercial amounts owed.  

There is one thing, though, a debt collector will always accept payments.  They may state that you are not in what is deemed as an acceptable payment arrangement, but they will always take your money!  I would begin making payments to the agency with what you can afford.  They will accept the money and it will begin paying down the debt.

Also, just don't return his calls.  No matter what you owe, no one deserves to be treated like that.  Don't email him, write him, talk to him -- no form of communication.  Just send in the money and hopefully it will make him back off a little.

---------- FOLLOW-UP ----------

Thank you Melissa. However, this collector is so nasty that he actually won't take my payments, and has returned them! They are paid by a certified check and/or USPS money order and they have been returned to us uncashed.  The collector said that he will take nothing less than 2 payments(1/2 & 1/2). The collector has also contacted many of our other accts in a notification letter that asks many acct questions about us, and he discloses his name, the company he works for "on behalf of..." the name of the originating acct.  You don't have to be a rocket scientist to figure out he's a collector!  He also begins each letter as Dear... Per our conversation... which indicates that they have verbally spoken, and who knows what he said to them or what the discussion detailed.  Is there anything I can do? Can I request the other accts NOT to communicate with him or provide information?  In his written notices to the accts, he claims that we are aware of them being contacted and of the investigation.(Yes, he uses that word). We are unaware of whom he is contacting until AFTER the contact and notice has been sent. I am at my wits end with this bozo!
Rioghbhardan
 
Posts: 39
Joined: Thu Feb 13, 2014 5:10 pm

Commercial Collections

Postby Filmer » Sat Oct 22, 2016 9:59 pm

Michele,

Have you tried sending the money directly to the original creditor?  Unfortunately, as it is a commercial account, it is not governed by the FDCPA.  You can contact an attorney regarding a possible harassment violation, but there is nothing to cite in order to get him to stop.
Filmer
 
Posts: 41
Joined: Mon Jan 13, 2014 9:36 am

Commercial Collections

Postby Mickey » Tue Oct 25, 2016 9:08 am

I own a business in CA. We have done very well in being a debt free company until the past several months. We found oureslves in a situation that we were unable to pay back our suppliers in the time allowed. We have had constant communication with them and are doing our best to give them something regularly. Some of the companies had to refer us to outside collection agencies due to the contractual guidelines. I am not disputing any of the debt, nor do I not intend to pay it all off. We have just fallen prey to the economical hard times. One of the company commercial collection agencies is horrible! The collector is abusive, demeaning and will not accept payments. He treats me as though I am scum. I have told him on numerous occasions that he may no longer call me on the phone and that all communication must be in writing - email, fax or standard mail. He refuses. He still calls. I no longer take his calls or return them. I send emails to notify him that I won't return his calls and the reason being is that I won't tolerate his abuse. This man went as far as telling me that he would be sure that me and my children would be homeless! Mind you, I rent(he knows that) and this particular debt is $6,500, not worth a house! I also informed him to cease and desist in all phone calls - he emailed back stating that that was only for personal debt and commercial debt they can do what they want.  How can I get this guy to back off? He's as bad with his tongue as a loanshark that cuts off your fingers! Do business not have any protection under the law? I did call the original company I owe, and spoke with the credit manager - we already had an ongoing business relationship, and he was very quiet when I told him what was happening. He said they are not allowed to intervene once the collection agency gets involved. I have been forwarding him all of the emails and information and he's been accepting it.  I have tried working with this beast of a collector and I'm at my wits end. Can he be forced legally to stop harrassing me? My business is a joint partnership, these harrassments have also been towards my business partner as well.

ANSWER: Michele, it is a shame that you have had to be treated like this, but the collector is correct.  The Fair Debt Collection Practices Act only covers personal debt and not commercial amounts owed.  

There is one thing, though, a debt collector will always accept payments.  They may state that you are not in what is deemed as an acceptable payment arrangement, but they will always take your money!  I would begin making payments to the agency with what you can afford.  They will accept the money and it will begin paying down the debt.

Also, just don't return his calls.  No matter what you owe, no one deserves to be treated like that.  Don't email him, write him, talk to him -- no form of communication.  Just send in the money and hopefully it will make him back off a little.

---------- FOLLOW-UP ----------

Thank you Melissa. However, this collector is so nasty that he actually won't take my payments, and has returned them! They are paid by a certified check and/or USPS money order and they have been returned to us uncashed.  The collector said that he will take nothing less than 2 payments(1/2 & 1/2). The collector has also contacted many of our other accts in a notification letter that asks many acct questions about us, and he discloses his name, the company he works for "on behalf of..." the name of the originating acct.  You don't have to be a rocket scientist to figure out he's a collector!  He also begins each letter as Dear... Per our conversation... which indicates that they have verbally spoken, and who knows what he said to them or what the discussion detailed.  Is there anything I can do? Can I request the other accts NOT to communicate with him or provide information?  In his written notices to the accts, he claims that we are aware of them being contacted and of the investigation.(Yes, he uses that word). We are unaware of whom he is contacting until AFTER the contact and notice has been sent. I am at my wits end with this bozo!
Mickey
 
Posts: 41
Joined: Wed Mar 12, 2014 8:42 am


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