Debt collection -- False statements or representation -- Complaint #12679934
Complaint Overview
Complaint ID: 12679934
Company: Collections USA, INC.
Product: Debt collection
Sub-Product: Rental debt
Issue: False statements or representation
Sub-Issue: Attempted to collect wrong amount
State: Arizona
ZIP Code: 85006
Date Received: 2025-03-23T12:00:00-05:00
Date Sent to Company: 2025-03-23T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: No
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
Below is a detailed breakdown of what occurred regarding this debt, how it was mishandled, and howhad the company followed proper proceduresthis situation could have been entirely avoided. The complete lack of communication, validation, and diligence from both XXXX XXXX XXXXXXXX and Collections USA directly led to this inaccurate collection being reported on my credit report, damaging my financial standing and future. Timeline of Events : XX/XX/XXXX The original {$130.00} charge was created and transferred from Apartment XXXX to my new unit, Apartment XXXX. XX/XX/XXXX The charge was marked due in XXXXXXXX XXXX XXXXXXXX XXXX. XX/XX/XXXX XX/XX/XXXX No notification was sent by XXXXXXXX XXXX XXXXXXXX about any outstanding balance. I continued to live on the property. XX/XX/XXXX The charge was forwarded to Collections USA without any prior notice or attempt to resolve the matter directly with me. XX/XX/XXXX XX/XX/XXXX CUSA held the debt without contacting me or sending formal written notice. XX/XX/XXXX I received my first phone call from CUSA, coincidentally on the day I moved out of the property. XX/XX/XXXX XX/XX/XXXX I received multiple calls from CUSA requesting payment. Each time, I asked for a detailed breakdown of the charge and formal documentation validating the debt. They refused to provide either. XX/XX/XXXX I emailed CUSA with proof of payment and documentation from XXXXXXXX XXXX XXXXXXXX showing the charge had been transferred and addressed. XX/XX/XXXX I followed up after receiving no response. CUSA never replied or acknowledged my communication. XX/XX/XXXX XX/XX/XXXX I received no additional communication from CUSA. XX/XX/XXXX I discovered a new derogatory account from Collections USA had been placed on my credit report. XX/XX/XXXX I filed a dispute with XXXX, providing documentation that the charge had already been resolved. XX/XX/XXXX XXXX forced CUSA to respond, resulting in the first written communication I received from thema generic invoice with no proof of debt. XX/XX/XXXX XXXX responded to my dispute by stating the debt was verified as accurate, without requiring supporting documentation from CUSA. XX/XX/XXXX I am filing this complaint with the CFPB for failure to validate the debt, failure to notify me, and wrongful reporting that caused significant harm to my credit and financial well-being. Additional Details : In XX/XX/XXXX, I clearly informed Collections USA that this matter was not being handled properly. I provided evidence that the charge in question had been transferred to my current apartment, which was fully paid. I also explained that Apartment XXXX had a security deposit on file that exceeded the disputed amount. Additionally, I was charged two separate deposits for my emotional support animalfees which are considered illegal under Fair Housing regulations and were never returned to me. If anyone had taken the time to review the original lease, deposit records, or documentation I provided, it would have been immediately evident that the balance should never have been sent to collections. The existence of these deposits alonecombined with my email proof of paymentshould have resolved this matter before it ever impacted my credit. Instead, Collections USA ignored my emails, refused to provide documentation, and later reported the debt to the credit bureaus without any additional communication. This not only delayed resolution but resulted in a XXXX drop to my credit score, undermining years of work I put into rebuilding my financial standing. Key Facts Supporting My Dispute The charge in question was originally from Apartment XXXX but was transferred to my new unit, Apartment XXXX, in XX/XX/XXXX. Management at XXXXXXXX XXXX XXXXXXXX confirmed in writing that I could pay under my new account, and I did. Despite this, the charge remained on the old apartments ledger for over a year before being automatically sent to collections in XX/XX/XXXX. I was never notified by XXXXXXXX XXXX XXXXXXXX or Collections USA prior to this collection appearing on my credit report. XXXX XXXX XXXXXXXX retained multiple deposits, further proving that I did not leave any unpaid balance. Timeline of Events XX/XX/XXXX Charge created by XXXXXXXX XXXX XXXXXXXX XX/XX/XXXX Charge marked due XX/XX/XXXX XX/XX/XXXX No notice of any balance while I continued living there XX/XX/XXXX Charge transferred to Collections USA without my knowledge XX/XX/XXXX XX/XX/XXXX No contact from CUSA XX/XX/XXXX First call from CUSA ( same day I moved out ) XX/XX/XXXX I emailed CUSA with proof the bill had been paid XX/XX/XXXX I followed up again. No response. XX/XX/XXXX XX/XX/XXXX No further contact from XXXX XX/XX/XXXX Collection appeared on my credit report XX/XX/XXXX XXXX forced XXXX to send written documentation ( a generic invoice only ) XX/XX/XXXX XXXX closed the dispute with no real investigation XX/XX/XXXX I filed this CFPB complaint and summary Attempts to Resolve the Issue XX/XX/XXXX : I informed CUSA this bill was invalid, already paid, and that I had documentation. -- Emails : XX/XX/XXXX : Sent proof of payment + email from XXXX XXXX confirming transfer of charge XX/XX/XXXX : Follow-up after no response CUSA ignored both. Never sent a formal notice or validation letter. XXXX forced response : I finally received documentation on XXXX generic invoice with no proof. Key Evidence Supporting My Case XX/XX/XXXX : Email from XXXX XXXX confirms charge was moved from XXXX XXXX to XXXX XXXX XX/XX/XXXX : Email from management confirms XXXX XXXX final balance was only utilities + a {$75.00} door repair XX/XX/XXXX : My email confirms those charges were acknowledged and handled Security Deposit : XXXX XXXX XXXX retained a full security deposit for Apartment XXXX that exceeded the {$130.00} charge Illegal Charges : I was charged two deposits for a registered XXXX XXXX XXXXboth illegal under Fair Housing laws Proof of Payment : Provided directly to CUSA on XX/XX/XXXX This account should have never been created, let alone reported. XXXXXXXX XXXX XXXXXXXX never notified me of a balance, and CUSA never sent a formal letter, never validated the debt, and ignored all of my proof. This situation has cost me time, energy, and financial peace of mind. Had either company reviewed their own recordsor even followed basic legal proceduresthis would have been resolved in XX/XX/XXXX. Instead, I was ignored, disrespected, and blindsided by a collection that dropped my credit score by XXXX points despite clear evidence showing the charge had been covered by both my deposit and direct payment.
Frequently Asked Questions
What is Complaint #12679934 about?
Complaint #12679934 was filed against Collections USA, INC. regarding Debt collection specifically about False statements or representation. It was received by the CFPB on 2025-03-23T12:00:00-05:00.
How did Collections USA, INC. respond to this complaint?
The company responded with: "Closed with explanation". The response was not timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Debt collection) and describe your issue in detail.
Can I see other complaints against Collections USA, INC.?
Yes, visit the Collections USA, INC. company profile at readthecomplaint.com/company/collections-usa-inc to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.