Have you been getting letters and calls from a company called Velocity Investments LLC? You may have an old debt that has come back to bite you.
When you fail to pay a bill, a company will make a certain number of attempts to collect it before moving it to collections.
This will result in a debt collector being hired to take over the collections process.
Velocity Investments LLC is relentless and coercive. They will stop at next to nothing to get you to pay up.
However, there are steps that you can take to stop their collection attempts and even improve your credit.
About Velocity Investments LLC
Velocity Investments LLC is a small debt collection agency that is headquartered in Wall Township, New Jersey.
They boast annual revenue of $1.3 million and have a headquarters staff of 10 employees.
Originally founded in 2002, they provide a number of legal solutions to their clients in addition to asset recovery services.
They work with a number of different commercial institutions, including hospitals, utility companies, and other collection agencies.
Does Velocity Investments LLC Have Any Complaints?
Unsurprisingly, Velocity Investments LLC is not a well-liked institution among its customers.
Many of their customers have filed complaints against them for various abuses over the years.
Since it was founded in 2002, they have had eight complaints filed with the Better Business Bureau (BBB).
And also one complaint with the Consumer Financial Protection Bureau (CFPB).
In addition to these complaints, there have been at least 20 cases of civil litigation brought against them.
These lawsuits sought to recover financial compensation for FDCPA violations that were committed against consumers.
If you are overwhelmed by dealing with negative entries on your credit report,
we suggest you ask a professional credit repair company for help.
How to Deal with Velocity Investments LLC
Want to know how to remove Velocity Investments LLC from your voicemail inbox and credit report? Follow the steps below.
Read Up on Your Rights
We mentioned briefly above that Velocity Investments LLC has a complicated relationship with its customers.
In fact, they have been involved in a number of lawsuits regarding how they’ve treated customers in the past.
This is because they have a history of violating consumer rights as outlined by the FDCPA and the FCRA.
The Fair Debt Collection Practices Act (FDCPA) and the Fair Credit Reporting Act (FCRA) are federal laws that seek to regulate the ways in which collectors go about soliciting payments from customers.
In the past, debt collectors acted like two-bit thugs when they contacted customers to make payments on debts.
It wasn’t until the passing of these two acts in the seventies that they started to shape up.
When you are first contacted by the collection agency, you should take some time to read up on your rights.
Most debt collectors assume that customers are ignorant of the law, but it will serve you well to know where the line is drawn when it comes to collection tactics.
If Velocity Investments LLC steps out of line, don’t hesitate to call them out on it. You may even consider filing a complaint with the CFPB to really send the message.
Send a Section 609 Letter
Although it is listed second, this is arguably the most important and urgent step in dealing with Velocity Investments LLC.
You will need to send them a Section 609 letter to have them verify your debt information.
Debt validation allows you to confirm that they have accurate information before you pay them for a debt.
For all you know, they could have the wrong balance or even the wrong person altogether.
The right to send a Section 609 letter is guaranteed under the FCRA. You are also given the right to request debt validation under the FDCPA.
However, you only have 30 days from the first time you hear from them to send this letter.
To get started, draft a Section 609 letter to Velocity Investments LLC using a letter template and your account information.
Send the letter to them and request a return receipt from the carrier.
Once they receive your letter, they should gather your account information and send it back to you.
You can cross-reference this with your own information and look for any discrepancies.
If you find that there is information that doesn’t line up, you can file a formal dispute with the major credit reporting agencies.
They will investigate the claims and remove the account if they agree that Velocity Investments LLC is reporting inaccurate information.
Make a Pay-For-Delete Agreement
Having your debt removed through inaccurate reporting may not be possible.
If Velocity Investments LLC is able to provide validation, you will need to move onto another course of action.
When a debt collector acquires a debt from a creditor, they will pay a fraction of the total balance in order to take on the account.
Eager to get rid of the delinquent account, the company agrees and takes a slight loss.
They are then able to profit off the difference by collecting the full balance.
You can take advantage of this fact by negotiating with the collection agency and pay less than 100% of the balance.
In fact, you may be able to get them to agree to remove their account from your credit report as well.
Start by telling them that you’ll pay 50% of the balance if they agree to remove the collection account from your credit report.
This offer will likely be rejected, so go back and forth until you can come to an agreement with them.
Once the terms and conditions are hashed out, get the full agreement in writing.
Hang onto this document just in case you need to use it in court.
Make your first payment once you receive this document in the mail.
Velocity Investments LLC should contact the credit bureaus and remove their account within 30 days.
If they drag their feet, remind them that you have a contract that they need to abide by.
Helping You Deal with Velocity Investments LLC
One of the worst ways that you can deal with a debt collector is to ignore them.
You should take steps right away that will prevent them from significantly damaging your credit.
If you have any tips on how to deal with Velocity Investments LLC, we’d love to hear from you.
Leave us a comment in the comment section below to tell us how you’ve had success with debt collectors.