Debt collection -- Attempts to collect debt not owed -- Complaint #20583936
Debt Collector Pursuing Identity Theft Debt: Your Rights and Next Steps
Complaint Overview
Complaint ID: 20583936
Company: Security Credit Services, LLC
Product: Debt collection
Sub-Product: I do not know
Issue: Attempts to collect debt not owed
Sub-Issue: Debt was result of identity theft
State: Florida
ZIP Code: 33578
Date Received: 2026-03-25T12:00:00-05:00
Date Sent to Company: 2026-03-25T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Risk Assessment
Risk Level: high
The risk is high because attempts to collect a debt not owed, especially one resulting from identity theft, can lead to significant financial harm, including credit damage and potential legal action. The company's response of 'Closed with explanation' suggests they may not have fully resolved the issue in the consumer's favor.
Consumer Sentiment: frustrated
Topics: debt-collection, identity-theft, debt-not-owed, security-credit-services, fdcpa-violation, credit-reporting-dispute
AI Analysis
It appears you've encountered a situation where Security Credit Services, LLC, a debt collector, has attempted to collect a debt that you believe is not yours, likely stemming from identity theft. This is a serious issue because debt collectors can take aggressive actions, including reporting negative information to credit bureaus, which can severely damage your credit score and financial standing. The fact that the debt is due to identity theft means you are being pursued for financial obligations that you did not incur. This type of complaint, involving attempts to collect debts not owed, especially those resulting from identity theft, is unfortunately not uncommon in the debt collection industry. The likely root cause is that the debt collector acquired a debt portfolio and, without sufficient verification, is attempting to collect from individuals whose information matches certain data points, even if that data was compromised through identity theft. The company's response of 'Closed with explanation' means they have provided their side of the story to the CFPB, but it doesn't necessarily mean the issue is resolved in your favor. For others facing similar situations, it highlights the critical need to immediately dispute any debt that is not theirs and to gather evidence of identity theft.
What You Should Do -- Consumer Action Plan
1. **Immediately dispute the debt in writing:** Send a certified letter to Security Credit Services, LLC, stating that the debt is not yours and is a result of identity theft. Request validation of the debt and all supporting documentation. Keep a copy for your records. 2. **File a police report:** If you haven't already, file a report with your local police department detailing the identity theft. This is crucial evidence. 3. **Contact the credit bureaus:** Dispute the debt with Equifax, Experian, and TransUnion. Provide them with a copy of your police report and any other evidence of identity theft. Request that the fraudulent account be removed from your credit reports. 4. **File a complaint with the FTC:** Report the identity theft and the debt collector's actions to the Federal Trade Commission (FTC) at IdentityTheft.gov. 5. **Consider legal counsel:** If the debt collector continues to pursue you or if your credit is negatively impacted, consult with a consumer protection attorney specializing in FDCPA violations.
Legal Context & Consumer Protection Laws
The Fair Debt Collection Practices Act (FDCPA) prohibits debt collectors from using abusive, deceptive, or unfair practices, including attempting to collect debts that are not owed. The Fair Credit Reporting Act (FCRA) requires credit bureaus and furnishers of information to investigate disputes and ensure the accuracy of credit reports, which is critical when identity theft is involved.
Regulatory Insight
This complaint pattern, where debt collectors pursue debts resulting from identity theft, suggests a systemic issue within the debt collection industry. Debt collectors may acquire large portfolios of debt and lack robust verification processes, leading to the pursuit of fraudulent accounts. The CFPB has previously taken action against debt collectors for engaging in unfair and deceptive practices, including collecting debts not owed.
Resolution Likelihood
30%
State-Specific Consumer Protections
Florida has its own debt collection laws that may offer additional protections beyond federal law. Consumers in Florida can also file complaints with the Florida Attorney General's Office, which oversees consumer protection matters within the state.
Industry Comparison
Security Credit Services, LLC's response of 'Closed with explanation' is a common, albeit often unhelpful, response from debt collectors in the industry. Many collectors rely on automated systems and may not conduct thorough investigations into identity theft claims, making their handling of such issues potentially worse than average when compared to more consumer-centric practices.
Similar Complaint Patterns
Complaints frequently arise from consumers who are targeted by debt collectors for debts they did not incur, often due to identity theft. These patterns often involve collectors failing to adequately investigate disputes or continuing collection efforts after being notified of potential fraud. Consumers report being harassed for debts that are not their responsibility, leading to significant distress and potential damage to their credit.
Related Issues
Frequently Asked Questions
What should I do if a debt collector contacts me about a debt from identity theft?
If a debt collector contacts you about a debt you believe is the result of identity theft, your first step is to immediately dispute the debt in writing. Send a certified letter to the debt collector stating that you are a victim of identity theft and that the debt is not yours. Request that they validate the debt and provide all documentation. Simultaneously, file a police report if you haven't already, and dispute the debt with all three major credit bureaus (Equifax, Experian, TransUnion), providing them with copies of your police report and any other evidence. You should also report the incident to the Federal Trade Commission (FTC) via IdentityTheft.gov. Continue to communicate with the debt collector and credit bureaus in writing, keeping meticulous records of all correspondence and actions taken.
What are my legal rights when a debt collector tries to collect a debt that isn't mine due to identity theft?
You have significant legal rights under federal law. The Fair Debt Collection Practices Act (FDCPA) prohibits debt collectors from using unfair or deceptive practices, including attempting to collect debts that are not owed. If a debt collector pursues a debt resulting from identity theft, they may be violating the FDCPA. Furthermore, the Fair Credit Reporting Act (FCRA) requires credit reporting agencies and debt furnishers to investigate disputes regarding the accuracy of information on your credit report. When identity theft is involved, you have the right to have fraudulent accounts removed from your credit report. It is crucial to document everything and communicate your rights clearly to the debt collector and credit bureaus.
Should I file a complaint if a debt collector is pursuing a debt from identity theft?
Yes, you absolutely should file a complaint. Filing a complaint with the Consumer Financial Protection Bureau (CFPB) is a crucial step. You can submit a complaint online or by phone. Additionally, consider filing a complaint with the Federal Trade Commission (FTC) at IdentityTheft.gov, as this is a direct report of identity theft. If you are in Florida, you should also file a complaint with the Florida Attorney General's Office. These complaints create a record of the company's behavior and can trigger investigations. Be sure to include all relevant details, dates, names, and any documentation you have to support your claim of identity theft and the debt collector's improper actions.
What is the track record of Security Credit Services, LLC with identity theft debt complaints?
While specific real-time data on Security Credit Services, LLC's track record with identity theft debt complaints isn't publicly available in a consolidated, up-to-the-minute report, the fact that this complaint exists within the CFPB database indicates they have encountered such issues. Complaints filed with the CFPB often reflect patterns of behavior. If you find multiple similar complaints against them regarding debts not owed or identity theft, it suggests a potential systemic problem in their collection practices. It's advisable to search the CFPB's complaint database for 'Security Credit Services, LLC' to see if other consumers have reported similar experiences.
What are my next steps if the debt collector doesn't stop contacting me about the identity theft debt?
If Security Credit Services, LLC continues to contact you after you have disputed the debt and provided evidence of identity theft, you have further recourse. You can send them a cease and desist letter, demanding that they stop all communication, except to confirm they are ceasing collection efforts or to inform you of specific legal actions they intend to take. If they continue to violate the FDCPA, you may have grounds to sue them. Consulting with a consumer protection attorney is highly recommended at this stage. They can advise you on your legal options, which may include seeking damages for violations of the FDCPA and FCRA, and potentially having the debt permanently removed from your credit report.
How can a debt collector pursuing an identity theft debt affect my credit score?
A debt collector attempting to collect a debt that is the result of identity theft can severely damage your credit score. If the debt collector reports the fraudulent debt to the credit bureaus (Equifax, Experian, TransUnion) and it is not promptly removed after you dispute it, it will appear as a negative mark on your credit report. This can lead to lower credit scores, making it harder to obtain loans, mortgages, credit cards, or even rent an apartment. In some cases, it can also affect your ability to get certain jobs or insurance policies. It is critical to act quickly to correct any inaccuracies on your credit report caused by identity theft and debt collection attempts.
Are there class action lawsuits against debt collectors for pursuing identity theft debts?
Class action lawsuits are a possibility when a company engages in widespread misconduct that affects a large group of consumers. If Security Credit Services, LLC, or other debt collectors, have a pattern of pursuing debts that are known to be fraudulent or the result of identity theft without proper investigation, it could form the basis for a class action lawsuit. To determine if a class action is viable or has already been filed, you would need to consult with a consumer protection attorney who specializes in class action litigation. They can assess the situation, review the evidence, and advise on whether joining an existing suit or initiating a new one is feasible.
Disclaimer
This analysis is generated by an AI and is for informational purposes only. It does not constitute legal advice. You should consult with a qualified legal professional for advice specific to your situation.