Thursday, September 22, 2005

Debt collectors caught like a rat in a trap!

READ ME ON YOUR CELLPHONE! http://pfeeds.com/3e

October issue of
The Collection Industry Magazine



Debt Collectors caught like a rat in a trap.

Minnesota Attorney General Mike Hatch's office is alleging that a large metropolitan area collection agency is blocking an investigation by refusing to turn over documents.

The attorney general's office has asked a judge to force the Messerli & Kramer law firm, which operates the collection agency, to respond to information requests, including names of consumers who might have been harmed by the agency's practices.

Hatch's lawsuit in December alleged that the Plymouth-based collections operation deceived and harassed low-income consumers over debts and presented misleading information to courts during legal actions against them. Hatch said more than 1,000 people may have been subjected to such tactics to collect on unpaid credit card bills, car loans and other debts.

As part of the motion filed Monday, Hatch's office included more than 20 additional examples of consumers that it said had been harmed by Messerli & Kramer's collection practices.

Although collection agencies are allowed to contact debtors, they cannot continue to pursue collection on consumers who inform the collector that most of their income comes from Social Security, public assistance or other exempt income sources.

Messerli & Kramer declined to comment except to say it would respond in court.

See the stunning new cover for our October issue of

Cover of September issue of the Official Collection Industry Magazine.

Our thanks to Mike Hatch, the Minnesota Attorney General for his work in helping to rid our industry of these rats.