Being contacted by any company that demands money can be devastating. What if they do not formally contact you and the company is threatening to take you to court? How do you respond? What if you do not know how to respond, or that you need to respond?
This could all happen to you if you are dealing with a company by the name of LVNV Funding, LLC. You could very well be in the middle of purchasing a new home when an old debt resurfaces, adding a negative item to your credit report that could damage your chances of securing a great finance rate.
Who is LVNV Funding, LLC?
You may have seen LVNV Funding on your credit report. Understand that this is a debt purchasing agency. They purchase old debt portfolios from other companies. The portfolios include credit grantors and other debt buyers.
LVNV Funding, in Las Vegas, Nevada, may appear on your credit report or letter. However, that does not mean someone from the company will be calling you.
Unlike other negative items that you may find lounging on your report, LVNV Funding, LLC does not actively pursue delinquent debt. Instead, the company subcontracts the debt collection efforts. They do this with companies like Resurgent Capital Services.
Both LVNV Funding and Resurgent are essentially owned by Sherman Financial Group, LLC. They work in tandem to secure funds for their business by collecting debt from consumers.
Can LVNV pursue me?
LVNV Funding can and will pursue you for an old debt. This is as long as they have a name, address, account and telephone number. These are the basic informational needs of the organization to come after you for money.
LVNV Funding purchases portfolios of old debt that contains:
- Phone numbers
- Account numbers
- Debt amounts
- Last known addresses
Often times, this is all of the information that they have available to them. That is because they are in the market of purchasing old debt by the thousands. This means that LVNV may not have other information available to them. That information includes dates and recent payment histories.
Without the correct dates of a debt, LVNV may be pursuing you for something older than 7 years. They may also not have current payment information if the previous owner tried to collect and the consumer decided to pay.
LVNV will typically file a lawsuit. That is well within their rights if they own the debt and you owe the debt. They do this in hopes that you do not reply to the court summons or that they send the server to the incorrect address.
You may have moved or your information has changed. In that case, more than likely, you will not become aware that this is happening until there is a judgment to garnish your wages.
Those practices can be seen as unscrupulous. Therefore, it goes without saying that the company has many complaints against them.
What are others saying about LVNV?
We read through many complaints. It seems that the most common occurrence from LVNV Funding is their tactic to sue someone, even for old debt. Because they buy debt portfolios, they are looking for maximum results with likely minimum effort.
If you are not at the address of service to receive notice of a court date, LVNV may win their case against you. The occurrence of “not doing proper due diligence” can stand up in court. It is up to you to fight it.
Another complaint about LVNV is that they pursue very old debts and judgments made on debts outside the statute of limitations. This means that LVNV cannot legally sue you for the debt. However, they may attempt to, based on the information on their spreadsheet.
Because of LVNV Funding’s limited information, other complainants have stated that the company refuses to validate debt even after several attempts. The only information they seem to furnish is the name and address of the original creditor. That satisfies parts of the Fair Debt Collection Practices Act’s (FDCPA) requirements (see our guide on the FDCPA here).
The common theme for LVNV’s practices seems to be that of minimalism. They’re discouraged to further pursue the consumer when more roadblocks are in the way.
How can you deal with LVNV?
The first step is to answer their letters with a certified letter (retaining a copy for your records). Then request debt validation within 30 days of receipt of their letter. They must halt collection efforts for 30 days once LVNV receives this letter.
If you do not receive a letter with the information, then you can ask for deletion of the account based on failure to produce debt validation.
If you are sent a court summons because you are being sued for the debt, it is best that you prepare by either filing debt validation letters, getting the Better Business Bureau involved to help in debt validation efforts, or contact the original creditor for verification of your debt on their end.
If your original creditor shows that you have paid your debt in full or the last date of delinquency is outside the statute of limitations (SOL), then you can ask LVNV to stop collection and judgment efforts, as they would be violating FDCPA laws that state they must legally be able to sue you for the debt.
As stated above, LVNV Funding thrives by taking the easiest path to contact the consumer. They do that in hopes that the consumer does the least (or nothing at all) to counter the efforts to collect.
This tactic may work for a percentage of the revenue generated by LVNV. However, there are times when you have the ability to halt their progress.
What if LVNV is listed on my credit report?
If you find LVNV Funding, LLC on your credit report, you should tackle the issue immediately, as they work swiftly and simply. A credit repair agency can tackle their efforts immediately, sending out the right material and recording responses on your behalf.
Credit repair firms have experience with debt collectors, and I am more than certain they have encountered and won against LVNV Funding, LLC.
Your main goal with LVNV is to have them verify the debt, in hopes that they cannot. You also want to avoid a judgement, which you will owe even if the debt is not yours or valid. Even if LVNV does not legally own the debt, they may still attempt to collect money from you.
It is in your best interest to follow procedures to remove the debt. Using the credit reporting agencies, the BBB (Better Business Bureau) or a credit repair firm as a middleman in dealing with crooked debt collectors may save you from paying thousands of dollars for a decade-old debt.
Can you file a Credit Dispute?
Yes, you can write a credit dispute letter to the credit bureau(s) who report the LVNV Funding, LLC item if there are any inaccuracies in the entry on your report. If you find even a single error in the entry, you can demand for the entire item to be deleted or corrected.
Study every detail of the LVNV entry – your address, account opening date, payment dates, balances, amounts owed, name. Note each incorrect or faulty piece of information you find.
Prepare a dispute letter to be sent to each of the three credit reporting bureaus, or each of the bureaus who show LVNV on your report with an inaccuracy. List each of the incorrect items you found in the credit entry, and request removal and/or correction.
The bureaus you contacted will then have 30 days from the date they received your letter to respond.
The debt collection industry can be lucrative for the businesses that participate, but often become a nightmare for consumers. The reappearance of an old debt can be both frightening and overwhelming, but you can take care of it.
Companies like LVNV Funding, LLC may use certain practices that lead consumers into bankruptcy, but they damage their reputations and BBB rankings in the process. This makes consumers wary of dealing with the firms, leaving them susceptible to judgment cases.
Some things to remember when dealing with LVNV Funding are:
- Never admit the debt over the phone.
- Ask for debt verification before the allotted time period is over
- Follow up with your complaints
Being ahead of the curve allows you the necessary time to review the information presented to you and secure payment to pay off the old debts, if need be. When dealing with a firm that does not play fair (based on the number of complaints and reported lawsuits), you might consider the viable defense of a reputable credit repair firm in your corner.