Allied Interstate is one of the biggest collection agencies in the United States. They will collect on many types of debts including charge offs, utilities, cell phone services, and many more. Did you know Allied Interstate paid a whopping $1.75 million dollar fine to the Federal Trade Commission for violating the Fair Debt Collection Practices Act?
In 2006, the Federal Trade Commission began an investigation into Allied Interstate Inc. This investigation revealed that Allied Interstate was making improper and harassing phone calls. To make matters worse they would ignore and not validate consumers debt validation requests.
To clarify, if your dealing with bill collectors contacting you about paying a debt. Your very first step is to request debt validation. This is legal way of saying to the collection agency: “Prove this is my account and that you are the current owner.“
It is a common rumor that debt collectors will attempt to collect on debts illegally. The director of the FTC Bureau of Consumer Protection, said about Allied Interstate in the press release announcing the $1.75 million dollar fine: “There is no excuse for trying to collect debt from someone if you can’t confirm that they actually owe it.“
Allied Interstate Inc.
3000 Corporate Exchange Drive
Columbus, OH 43231
Website – http://www.allied-interstate.com/
Email – Advocacy.Group@Allied-Interstate.com
Phone Number – 1-800-811-4214
How To Dispute A Debt With Allied Interstate
As we mentioned, your very first step is to ask for debt validation. This is how to dispute a debt. The collection agency upon receipt of your request is going to have to provide you with legal evidence that shows:
- If they purchased your account or are working with the creditor
- They are the current owners of your account
- And your debt is within the statute of limitations
According to experts it is common for collection agencies to not comply with debt validation requests. If this is your result, then you will not have to repay the debt. Additionally the collection agency is supposed to notify all 3 credit bureaus that the debt collection on your credit report is not valid and should be removed.
However, as you can see from the Federal Trade Commission fine of Allied Interstate. Federal regulation and laws are not always followed by collection agencies. In reality is it is common practice for debt collectors to violate consumer federal rights on a daily basis. There is an endless number of fines from the FTC against debt collectors for violating these laws.
What If Allied Interstate Is Suing Me?
If you are being sued by Allied Interstate it is of critical importance that you show on your court date. You can contact the court and request a different court date, should you have a scheduling conflict. But, if you neglect to show up the court will have no option but to award a default judgment against you.
In other words, the court with find in favor of the collection agency. This can result in your wages being garnished along with your credit score being ruined.
Remove Allied Interstate From Your Credit Report
This will depend directly upon what stage your debt is in with Allied Interstate. And if they still own the legal rights to collect on your account. Your should first file a credit report dispute, this is your way of telling the credit bureaus: “Hey this item is not correct on my credit report. Please investigate it and remove it.”
You can do this yourself by sending a dispute letter. You can also hire a credit repair lawyer to do this and request debt validation for you.
Two Important Things To Remember
1. You Can Dispute Any Item On Your Credit Report
It is 100% legal to file a credit bureau dispute against any item on your credit report. Provided you believe it is questionable or incorrect.
2. You Should Never Just Pay A Debt With Allied Interstate
Always request debt validation. If your debt is validated, then you can make payment. But you must negotiate a settlement for less than the total amount due. Never pay the full amount owed because the collection agency has paid mere pennies on the dollar for your account.
In exchange for your payment, you must always get the collection agency to agree to stop reporting negative credit to the credit bureaus. If you forget to do this and just pay your debt it will do very little to build credit and the collection on your credit report will simply be changed to a paid collection.
This is still a damaging, derogatory item to have on your credit reports. Take action today and get a free credit consultation by calling toll-free 1-877-418-7596. And for more credit help and tips with Dan Willis sign up for our free newsletter.
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