These are all examples of debt collection scams, along with some red flags (noted below the quoted section). All of these are from supposed payday loan-type businesses - which like zombie debt collectors, operate barely on the legal side of the law.
All of these were based off of emails that were posted on r/scams, with details changed.
Federal Law Associate <federalaw.associatO7[@]gmail.com>
Case File: HM/78A/9820
One Time Settlement Amount: $850.00
CREDITOR - OLA- Online Lenders Alliance.
You are going to be legally prosecuted in the Court House within a couple of days. Your SSN is put on hold by the US Government, so before something goes wrong we would like to notify you about this matter. It seems apparent that you have chosen to ignore all our efforts to contact you in order to resolve your debt with Payday Services. At this point, you have made your intentions clear and leave us no choice but to protect our interest in this matter.
Your line of credit is over 60 days past due, but it is not too late to restore your good standing!
We want to serve as your trusted financial resource in the future, but to do that; we'll need to come to an agreement on the past-due balance.
If you believe you are unable to afford the payment options we have offered, contact us right away through email and we will do our best to accommodate an amount you can commit to.
If you don’t want to confess, I just want to update you that based on the information that I shared with you the state court of Texas has decided to get your existing social security number suspended on an immediate basis. And we have got 2 serious allegations charged against you for the felony which is money laundering & Federal banking regulation.
Now, this means a few things for you. If you are under any state probation or payroll we need you to inform your superior or manager what you have done in the past and what would be the consequences once the case has been downloaded and executed in your name. If we do not hear from you within 48 hours of the date of this letter, we will be compelled to seek legal representation from our inhouse attorney. We reserve the right to commence litigation for intent to commit wire fraud under the pretense of refusing to repay a debt committed to by use of the Internet.
The above feels like the scammer couldn’t decide if they were a collection agency or a government agency, to be honest. Here are the other red flags:
No government employee uses gmail for official business. If this was a rep for a collection agency, they would also not be using gmail for official business. Domains are cheap, so are email accounts.
Note the generic “prosecuted in the Court House” which doesn’t state which court house.
Same goes for the “state court of Texas” which is not a thing. And again, a state cannot suspend a Federal SSN.
SSNs cannot be “put on hold” by the U.S. Government.
Payday Services is an awfully generic name. I could not find a business by that name in my search.
OLA, the Online Lenders Alliance, is a trade organization for online lenders and you would not be taking out a payday loan from it.
Since when is “Federal banking regulation” a felony?
For that matter, allegations are not charged against you.
“If you are under any state provbation or payroll” - what word salad is this?
Same for “once the case has been dowonloaded” - wtf word salad?
You cannot go to jail for failing to repay a debt, and you certainly can’t for “intent to commit wire fraud under the pretenese of refusing to repay a debt”.
One of two letters in the same email chain to the same person:
Dear Debtor,
GARNISHMENT COLLECTION ALERT
LAWSUIT FINAL ADVISORY Docket Case Number - QWE/29/SE-346
Rate of interest, Affidavit Charges, Late Fee, and Tax
We are disappointed to see that despite numerous requests, payment for the overdue invoices as listed below has still not been received.
Further to our previous correspondence dated, your account is still overdue for payment. We would respectfully remind you that you have exceeded the trading terms for these outstanding amounts and we would be grateful to receive your remittance within the next 48 hours, this overdue amount being passed to commercial debt recovery service for collection [we] shall have no alternative but to take action through your local County Court to recover the amount due together with the Compensation includes reasonable recovery costs, which can include our fee $[16,784].
As a result, we have exhausted the options available to us for internal collections. Your account has now been referred to a debt collection agency, effective immediately. This agency will now be responsible for collecting the outstanding debt on our behalf. We have a statutory right under the Late Payment of Commercial Debts Regulations Act to add interest and late payment
Take notice that if full payment of the $[3598.76] is not received on our collection portal on within the next 24 hours, we shall, without further notice, begin legal action to recover the debt, all court costs of around $[16,784] and invoice became overdue pursuant to the late payment legislation to be borne by yourselves.
Please be advised that having this debt with a collection agency could have a negative impact on your credit score and could make it difficult for you to obtain credit in the future.
We suggest that this serves as your last and final chance to settle this case amicably. Once the case file is downloaded, our ability to assist you will be limited, and legal consequences will follow. Specifically, all of your bank accounts are at risk of being seized through major credit bureaus within the next seven business days.
Your cooperation in resolving this matter promptly is crucial to avoid these legal consequences. We urge you to take immediate action to settle the outstanding debt and prevent further complications.
If you wish to avoid further actions and additional costs, it is crucial that you contact the collection agency promptly and make arrangements with them to settle the outstanding debt and prevent further complications.
This letter is very direct and formal, indicating that the debt has been passed on to a collection agency and outlining the potential consequences for the debtor. It advises the debtor to contact the collection agency to resolve the outstanding debt.
NOTE: Once fully paid, a receipt stating that your account has been paid in full with zero balance will be sent on your registered email account mentioning that you are no longer a debtor for the firm.
We believe that this was not your intent and these steps are unnecessary. We merely require you to contact our recovery asset location department via Email between 10:00 AM to 05:00 PM (EST).
UNDER INVESTIGATION (MAJOR CREDIT BUREAU)
Red flags:
“Dear Debtor” instead of the person’s name.
“We are disappointed” is not language a U.S. debt collector would use, especially the first party that is implied.
Again, a docket number but no court listed.
Garnishments don’t happen until the court determins you owe the money and it can only be paid through garnishing your wages.
Why is the amount due in both cases in brackets?
If this was real, the actual name of the court would be specified, not “the local County Court”.
Also, either you are going to sue in court or passing it to a 3rd party debt collector. You can’t do both.
The word salad around “invoice became due”
The “Late Payment of Commercial Debts Regulations Act is real… in the United Kingdom. It’s not a U.S. law.
Credit bureaus do not seize bank accounts.
Again, “once the case file is downloaded”.
“This letter is very direct and formal”. Sir, this is an email.
“Under investigation (major credit bureau)” Vaguely threatening language but in actuality word salad.
Dear Debtor,
GARNISHMENT COLLECTION NOTICE
LAWSUIT FINAL ADVISORY
Docket Case Number - QWE/29/SE-346
Rate of interest, Affidavit Charges, Late Fee, and Tax
The department has sent you several notifications to resolve this issue but you are not ready to make this debt good. Now unfortunately we have to proceed further and download the case against you. Considering the gravity of the situation, we are left with no alternative but to proceed further by downloading a case against you. The legal charges under Section 9 and Chapter 19 have been invoked against your name and social status.
We are talking about the loan amount of $900.00 that you took with the company, they do have the details which you provided during taking this loan of $900.00 under your name and SSN. The company has more than 14 technical pieces of evidence in order to prove the money was successfully deposited into your bank account.
The Original lender is QCS (Quick Cash Services), it is a parental payday loan company that owns and operates more than 350 websites. All child companies like Speedy cash, Fast cash, 300 cash, 500 cash, Cash Net USA, Cash advance, Cash America, Payday Max, 2-minute payday loans, Payday cash, Payday perfect, Money tree, etc. own and operate under it. You went to one of these companies and applied for a Payday loan.
The total outstanding balance pending on your Name and SSN is $3598.76 it includes the Rate of interest Charges, Affidavit Charges, Late Fee, and Tax, but if you are looking to resolve the matter you have an opportunity to enroll yourself in a settlement process.
Please be advised that this serves as your last and final chance to settle this case amicably. Once the case file is downloaded, our ability to assist you will be limited, and legal consequences will follow. Specifically, all of your bank accounts are at risk of being seized through major credit bureaus within the next seven business days.
Red flags:
“Dear Debtor”, as above, no collection agency would say “dear debtor”, they’d address the debtor by their name.
“The department” - what department?
“but you are not ready to make this debt good” - not any way shape or form how a U.S. debt collector would phrase things.
Note the vague “Section 9” and “Chapter 19” - section 9 and chapter 19 of what?
“invoked agaisnt your name and social status” - this may be a threat in India, but not in the U.S.
The whole 2nd paragraph starting with “we are talking” is word salad - or at best a non-native English speaker’s way of phrasing things that sound very odd to American ears.
No evidence that “Quick Cash Services” exists. Owning websites doesn’t mean owning companies - I own a website, after all.
The child companies have very generic names or version of legit(ish) payday loan companies. Also, why a generic listing and not “Here’s the child company you took the loan out under”?
The random capitalization is very random.
“pending on your name and SSN” is not the way a native speaker would phrase things, especially at a huge company like this is supposed to be.
Again, “once the file is downloaded” lul what?
And again, credit bureaus do not seize bank accounts!
The next one came with a fake arrest warrant (note: arrest warrants are not served through email!)
Speedy cash Service Department of payday Loan
DUE AMOUNT- $1800.00
LOAN COMPANY/LENDER - Speedy cash Payday Loan Services
Case Number #151414
Case Consult Operator: Attorney Mack Anderson, Washington,DC.
Contact at: att.mack.anderson[@]gmail.com
OAK VIEW LAW GROUP
+1 202-945-9669
We are hereby to inform you that you are going to be legally prosecuted in the Court House within a couple of days. So before something goes wrong we would like to notify you about this matter. It seems apparent that you had chosen to ignore all our efforts to contact you in order to resolve your debt with your Payday Services. At this point you have made your intentions clear and leave us no choice but to protect our interest in this matter.
UNITED LEGAL INVESTIGATION BUREAU HAS STATED 4 SERIOUS ALLEGATIONS AGAINST YOU AND THEY ARE:
(1) VIOLATION OF FEDERAL BANKING REGULATION
(2) COLLATERAL CHECK FRAUD
(3) THEFT BY DECEPTION
(4) ELECTRONIC FUND TRANSFER
If we do not hear from you within 24 hours of the date on this letter, we will be compelled to seek legal representation from our in-house attorney. We reserve the right to commence litigation for intent to commit wire fraud under the pretense of refusing to repay a debt committed to, by use of the internet. In addition we reserve the right to seek recovery for the balance due, as well as legal fees and any court costs incurred.
(Not shown because the picture cut off: the same list of companies as the example above, with the same weird capitalization)
Red flags:
“Department of payday Loan”? Not counting the weird capitalization, why would a payday loan service have a ‘department of payday loan’?
“Speedy cash Payday Loan Services” does not exist.
What in the heck is a “Case Consult Operator”?
No legit attorney in a law group is going to use a gmail address.
There is an Oak View Law Group that specializes in debt relief, but they’re somewhere in California.
There’s that “legally prosecuted in the Court House” again! Note that it doesn’t say which court house.
And again that “Payday Services”.
What in the heck is the “United Legal Investigation Bureau”?
Debt collectors cannot persecute anybody. Debt is a civil matter, not a criminal one as this implies.
Notice the vague “Violation of Federal Banking Regulation” oh no!
And how is Electronic Fund Transfer an “allegation”?
“We will be compelled to seek legal representation from our in-house attorney” - but this comes from a supposed outside law firm!