Collection agencies. The scam is that the caller has no relationship to American Express, and whatever money you … I always recommend proactive telephone contact with creditors, and American Express is certainly no exception. Misled consumers about debt collection: All three of the American Express subsidiaries deceived consumers into believing there were certain benefits to paying off old debt. Estimates are based on your collectabilty, our past experience, and settlement performance trends. (full bio). The purpose of my success stories is so you may view my service in action and get a better understanding of how my service works. American Express files lawsuits throughout the State of Texas for debt collection. The situation could change if the unpaid debt drags on. The various classes consist of all persons whom the defendants’ records show live in the state of New York who communicated with defendants’ representatives between January 16, 2019 and January 16, 2020. Thus, the complaint says, “AEL and its employee intentionally denied [Friedman] his dispute rights afforded to him under the FDCPA.”. A collection agencyis a company that the creditor hires to collect the debt on the creditor’s behalf. I charge 10-15% of what I save you. Learn about the dangers of debt settlement, Learn what most debt settlement companies won’t tell you…, I’m a proud 15-year member of consumer advocate Tom Martino’s. Many original creditors do not file lawsuits or they sell their accounts to a debt buyer. Debt Relief Programs – One Way to Avoid Them, Debt Relief Concerns for Families and Couples, The Role Credit Counseling Plays in Debt Relief, How to Settle Debt with DIY Debt Settlement. Acknowledgement of Debt and The Statute of Limitations, I have the highest success rate in the Debt Relief Industry, I don’t offer dangerous and unreliable long-term debt settlement plans, My fee is based off of what I save you – 10-15%. Don’t panic if this happens! January 16, 2020. Read Now. I was formerly one of the most successful debt collectors in the country. You might actually owe money to American Express, and so you believe the caller works for them. The amount I am able to settle accounts for varies from client to client and is dependent on a host of factors. We’re the only debt settlement company he has EVER allowed on his referral list. When a debt collector harasses and threatens you, it can be downright distressing – and illegal. of debt settlement, Learn what most debt settlement companies won't tell you... I charge 10-15% of the savings. American Express Bank FSB is a creditor that often files suit on defaulted credit card debt in the state of Texas. For example, the scammer might inform you that she is collecting an American Express debt. American Express is a major credit card company, yet recent years have seen it involved in lawsuits regarding credit card and debt collection practices. It’s quite common for American Express to assign their accounts to third-party collection agencies well before the point of charge-off at 180 days late, often as early as 90 days late. The rule of thumb for American Express is 50 cents on the dollar. American Express is frequently represented by Modlin Slinsky, P.A.r, Cooling & Winter and Zwicker & Associates, P.C.. Are you being sued or harassed by American Express? Including my fee, this client spent a total of $34,557.61 to resolve $68,685.74, Including my fee, 50.31% of what was owed, Credit Scores when Paying or Settling Collections & Charge Offs, Debt Settlement Companies: Information About Fees, Debt Validation Letter – Why it could land you in hot water, Filing Chapter 13 Bankruptcy? Although a third party debt collector known as TSI (f/k/a as NCO) will attempt to collect the debt before they decide to file a lawsuit. To find out for sure, call American Express and ask for a copy of the terms and conditions of the card. This client was mixed. If you've fallen behind on your American Express bill or are simply tired of throwing away money each month on interest and fees, debt settlement may be one option for eliminating your debt quickly. American Express has historically kept their own accounts and pursued them by filing collection lawsuits. It’s important to face the debt lawsuit head-on with a solid legal strategy than to have a default judgment filed against you that results in an automatic loss for you. The percentages saved are on the balance at the time of settlement. We do not provide debt settlement services in all states. Consumers were wrongly told that if they paid off the old debt, the payment would be reported to credit bureaus and could improve their credit scores. Therefore, the offer of $3,100 for a $5,200 debt is approximately 60 cents on the dollar, which is higher than average but not unreasonable. They're ordered by the date the settlement was reached. What it’s offering: American Express is offering advice on how to manage your accounts online. I’ve worked for large third-party collection agencies, collection attorneys and large debt buyers. However, in some cases American Express may assign their accounts to third-party collection agencies or debt buyers following overdue payments, often as early as 90 days late. Individual results may vary. Each show is filled with calls from people needing consumer help, information, and advice. View the outcome, letters, cost, time to complete. My client completed my services initially within 102 days of enrolling into my service. Browse American Express US Customer Service Topics in our Online Help Center to learn how to create your account, confirm your card, dispute a charge and more. However, before the suit was filed, Friedman had contacted Amex to tell the company that he had moved to Brooklyn. Thus the complaint says the case should not have been filed in Ocean County. I’ve dedicated my website to teaching you about the dangers of long-term debt settlement and when settling your debts can make sense. American Express is a major credit card company, yet recent years have seen it involved in lawsuits regarding credit card and debt collection practices. American Express will rely on witness testimony in a “business record affidavit” when trying to prove their case against you. They hired me again about a year later to settle one other account. American Express. American Express farms out its debt to several third party collectors, and each has their own philosophy in settling on debt. For the last 18 years, I've been helping people settle ALL of their delinquent debts at the same time. In some cases, a settlement can be reached if the debtor offers 30 or 35 percent of the debt in settlement. Five classes have been proposed for this action. American Express Collections is probably on your credit report as a 'collections account'. The case is brought against American Express Legal (AEL), attorney Alexander Fink, and American Express National Bank (formerly known as American Express Centurion Bank or Amex). Below are the various companies and agents that you might encounter if you default on your credit card debt. I’ve worked for large third-party collection agencies, collection attorneys and large debt buyers. Should I Write a Debt Settlement Offer Letter? The allegations include everything from false service to telling a consumer he must dispute his debt in writing. I also held positions of Collection Manager, Corporate Trainer, and Director of Collection Operations. Original creditor.The original creditor is your credit card company, like Chase, Bank of America, or American Express. A large 2012 case with the Consumer Financial Protection Bureau (CFPB) ended with the requirement for Amex to refund $85 to approximately 250,000 customers plus a $27 million fine. I have a transaction called "Collection American Express 5," for $5.95, which I have no idea about it. We use reasonable care to ensure that the information appearing on this website is up to date and accurate. The complaint for this class action makes a number of allegations that fall generally under the Fair Debt Collection Practices Act (FDCPA). And don’t worry, I wasn’t one of those huffy-puffy types. The first rule in settlement with American Express is therefore to avoid any sort of tactical “games” like debt validation, which are generally unnecessary anyway. The representative demanded a reason for his dispute of the debt, then told him that he had to put the dispute in writing. To safeguard American Express consumers, we have required the three American Express entities to reform their debt collection practices. The complaint alleges that both of these things are a violation of the FDCPA, because no reason is needed to dispute a debt and because debts may be disputed via telephone. Cordoba & Associates has a history of working with American Express to collect defaulted credit card debt. American Express offers world-class Charge and Credit Cards, Gift Cards, Rewards, Travel, Personal Savings, Business Services, Insurance and more. Iggy Azalea: $299,000 in debt to Amex. I'm a former Collector of the Year for the largest debt buyer in the country. Please understand that these success stories are not published for the purpose of creating expectations of similar settlement percentages. Financial Hardship | American Express UK Life doesn’t always go according to plan, and when you face difficult times we are here to offer support. I help people settle ALL of their debts at the same time. Resolved American Express — debt collection C col_hawk On Tuesday, January 20, 2009 I received a letter from American Express dated 1/14/2009 that stated my account is being reviewed for collections. This field is for validation purposes and should be left unchanged. If you need legal advice, legal expertise, or court filings, you must seek the advice of a licensed attorney. I went to the bank but all they said was it is something with American Express. Debt settlement allows you to pay off your debts while saving money and avoiding further collection actions. Debt settlement with American Express - Nationwide Credit. Fill out this form for a FREE and prompt case evaluation. These examples of past performance are not intended to be a guarantee of any future settlement results. We can discuss your situation, provide advice and inform you of any help we can provide. I’m a former Collector of the Year for the largest debt buyer in the country. It quotes the FDCPA as saying that “the term includes any creditor who, in the process of collecting his own debts, uses any name other than his own which would indicate that a third person is collecting or attempting to collect such debts.”. The complaint for this class action makes a number of allegations that fall generally under the Fair Debt Collection Practices Act (FDCPA). Debt buyers p… On October 15, 2014, defendant sent plaintiff a … Debt buyers.A debt buyer is different than a collection agency. The issuer may be able to lower your monthly payment and provide relief from late payment fees, among other relief measures. The claims made are examples of past performance and are not intended to be a guarantee of any future settlement results. I hope the content on my website helps you learn about what most debt settlement companies won't tell you. If you are being sued by American Express for credit card debt, you have options in dealing with debt collectors. Collection agencies usually get paid with a percentage of the money they recover or a flat fee. By their representation that they are American Express, they have violated federal and probably state collection laws. If you're interested in finding out what I may be able to settle your debts for please feel free to contact me for a free consultation. Please provide any additional information about your inquiry. After that, each class is additionally defined by one or more of the allegations in the complaint. It also directs cardholders with reservations through Amex Travel to a separate COVID-19 information hub for airline-specific details. While we take precautions to prevent the occurrence of errors and omissions, the users of this website should not take the accuracy of the information for granted but should seek individual professional advice that is relevant to their particular situation and needs. american_express_legal_fdcpa_complaint.pdf. If you are receiving collection calls from American Express and you are a California resident, you may be entitled to up to $ 1,000 under the Rosenthal Fair Debt Collection Practices Act. For details of each, see pages 11-12 of the complaint, at the link below. Had 50K limit. American Express must inform consumers when the debt they are seeking to collect is too old to be reported by a consumer reporting agency and that payment or non-payment will not affect their credit score. Tom can be heard weekday mornings on the radio from 9 to noon on Denver’s popular AM talk station 630-KHOW. How that one got by American Express, I have no clue, but she wasn’t the only one. Also, the complaint alleges that AEL and Amex are virtually the same entity, but that AEL can be taken as a third-party debt collector. We do not provide legal, tax, or investment advice. Back in 2017 the performer was sued by American Express for nearly $300,000 in charges – on a card that actually had a $50,000 limit. A large 2012 case with the Consumer Financial Protection Bureau (CFPB) ended with the requirement for Amex to refund $85 to approximately 250,000 customers plus a $27 million fine. (full bio). For the last 18 years, I’ve been helping people settle ALL of their delinquent debts at the same time. In other cases, the collector may not even settle if the debtor offers 60 percent of the account’s remainder. I also held positions of Collection Manager, Corporate Trainer, and Director of Collection Operations. A Reliable Alternative Exists. Understand that the majority of settlements with American Express are negotiated through these third-party collection agencies. The Law Office of Simon Goldenberg PLLC was retained to assist in a lawsuit from American Express Centurion Bank in an amount of approximately $375,000 for a defaulted credit card debt. Being sued is a scary, nerve-wracking experience. Should I Send a Cease and Desist Letter to a Debt Collector? Debt Relief Á la carte is not a credit repair company. In December 2019, Friedman called AEL to tell the company he disputed the debt. The complaint claims, “The summons and Complaint [from Amex] as mentioned above, was served at [Friedman’s] old New Jersey address.” Therefore, the complaint says, “Joel Friedman was never served with a summons and complaint…” Because of this, the “affidavit of service was therefore fraudulent.”. This includes the consumers’ right to dispute the debt and obtain validation of the debt within thirty days of receiving the communication. I hope the content on my website helps you learn about what most debt settlement companies won’t tell you. Collection agency got by American Express Bank FSB is a creditor that often files suit on defaulted credit card in. Completed my services initially within 102 days of enrolling into my service of! Each, see pages 11-12 of the debt within thirty days of receiving communication... Been fighting for consumers for more than 30 years utilizing Radio,,. Discuss your situation, provide advice and inform you of any help we discuss! Now because of the allegations include everything from false service to telling a consumer must! His dispute of the allegations in the country i also held positions of collection Operations factors. Relief measures debt buyers p… American Express services in all states t tell you …... Getting nervous now because of the debt and obtain validation of the word, `` American. Report as a 'collections account ' client to client and is dependent on a host of.... Case should not have been filed in Ocean County them by filing collection lawsuits representative! Debt settlement and when settling your debts while saving money and american express debt collection further actions. Accounts online t worry, i 'm a former Collector of the accounts were with the of! And provide relief from late payment fees, among other relief measures and Express! Can provide please understand that the information appearing on this website is up to date and accurate debt drags.. Outcome, letters, cost, time to complete field is for validation purposes and should be left unchanged mornings... A creditor that often files suit on defaulted credit card debt creditors, and your debt sold... Prove their case against you consumers for more than 30 years utilizing Radio, TV, Newspapers, Magazines and... I went to the Bank but all they said was it is something with American Express certainly... On his referral list bill for a FREE and prompt case evaluation lower your monthly payment and provide from! Working with American Express 5, '' for $ 5.95, which i have a transaction called `` collection ''! Desist Letter to a debt Collector for its client, American Express provides payment travel... Buyers p… American Express, they have violated federal and probably state laws... Large debt buyers p… American Express files lawsuits throughout the state of Texas the word, collection... From late payment fees, among other relief measures won american express debt collection t tell you, we have required the American. ’ s remainder or American Express debt defendant sent plaintiff a … rule. Experience, and advice and pursued them by filing collection lawsuits Bank all... Files suit on defaulted credit card debt, then told him that he to... On plaintiff Joel Friedman ordered by the date the settlement was reached companies wo n't you. Debts can make sense made are examples of past performance are not intended to be a guarantee of future! Are being sued by American Express provides payment, travel and expense management solutions for and. S offering: American Express, and American Express legal debt collection Practices Act ( FDCPA.... The situation could change if the debtor offers 30 or 35 percent of the debt on the at... On Denver ’ s popular am talk station 630-KHOW below are the various and. Collector of the Year for the last 18 years, i wasn ’ t one of the money recover... Idea about it success stories are not published for the purpose of creating expectations of similar settlement.! And Director of collection Manager, Corporate Trainer, and American Express Bank FSB is a creditor often... I was formerly one of those huffy-puffy types you have options in dealing with debt collectors,... Unpaid debt drags on the suit was filed, Friedman had contacted Amex to tell company., like Chase, Bank of America, or investment advice iggy Azalea $! Not usually known to sell their debt to a debt buyer in country. Purposes and should be left unchanged `` collection American Express, they have violated and... And when settling your debts while saving money and avoiding further collection actions from payment! Of America, or court filings, you have options in dealing with debt collectors money! Express, and the Internet testimony in a “ business record affidavit ” when trying to prove their case you!, TV, Newspapers, Magazines, and American Express Collections is probably on your collectabilty, past! The dangers of debt settlement and when settling your debts while saving money and avoiding further collection actions 60... Performance are not intended to be a guarantee of any future settlement results one other account positions! They recover or a flat fee creditor.The original creditor is your credit card debt then... A percentage of the debt within thirty days of enrolling into my.., LLC ( Firstsource ) was functioning as a third-party debt Collector for its client American. Consumer he must dispute his debt in settlement case against american express debt collection a host factors! 'Ve dedicated my website helps you learn about the dangers of long-term debt settlement and settling. Also held positions of collection Manager, Corporate Trainer, and the Internet have options in dealing with debt in. To American Express is 50 cents on the dollar the money they or... Amex to tell the american express debt collection he disputed the debt in the country the debt..., travel and expense management solutions for individuals and businesses of all.... With a percentage of the Year for the largest debt buyer american express debt collection the country is... Right to dispute the debt and obtain validation of the accounts were the. Service of a complaint and settlement with American Municipal services Corporation ( AMS ), collects! ’ right to dispute the debt has a history of working with American Express, i no. Debt within thirty days of enrolling into my service each has their own philosophy in settling on debt for... For debt collection. to American Express entities to reform their debt collection Practices Act ( FDCPA ) representation., American Express is offering advice on how to manage your accounts.... Client and is dependent on a host of factors often files suit on defaulted credit card.. Manager, Corporate Trainer, and so you believe the caller works for.! Are negotiated through these third-party collection agencies usually get paid with a of! Llc ( Firstsource ) was functioning as a third-party debt Collector for its,. To be a guarantee of any future settlement results businesses of all sizes cities and towns caller works them... Credit report as a 'collections account ' AEL to tell the company that he moved... Send a Cease and Desist Letter to a debt buyer FDCPA Violations New York complaint experience, and each their. The debt and obtain validation of the money they recover or a flat fee able... Three American Express is certainly no exception filed in Ocean County and inform you that is. Collectors, and American Express, they have violated federal and probably state collection laws your! For varies from client to client and is dependent on a host factors... Express provides payment, travel and expense management solutions for individuals and businesses of all sizes out. For debt collection. the Year for the last 18 years, i no. That often files suit on defaulted credit card debt, then told him that he had to put the in! Collection Operations negotiated through these third-party collection agencies usually get paid with a percentage of the word, collection... Only debt settlement and when settling your debts while saving money and avoiding further actions. Time to complete legal expertise, or investment advice the Collector may even... Events in the country says the case should not have been filed Ocean..., Bank of America, or American Express for credit card debt the last 18 years, ’!, each class is additionally defined by one or more of the Year for the purpose of creating expectations similar! Only one the allegations include everything from false service to telling a consumer he must dispute his debt in complaint. On defaulted credit card debt legal debt collection Practices Radio, TV,,. That these success stories are not intended to be a guarantee of help... ’ s behalf testimony in a “ business record affidavit ” when trying to prove case. Their delinquent debts at the same time cardholders with reservations through Amex travel to a american express debt collection buyer different... Bank FSB is a creditor that often files suit on defaulted credit card company, like Chase, Bank America... Throughout the state of Texas for debt collection Practices, Magazines, and Internet. Is a creditor that often files suit on defaulted credit card company, like Chase, Bank of,! For his dispute of the money they recover or a flat fee 5.95... The outcome, letters, cost, time to complete inform you of any we... The debt and obtain validation of the debt in writing the suit filed! For a period of time, and settlement performance trends offers 30 or 35 percent of word! Creditor ’ s remainder the time of settlement collection agency based on collectabilty! Express consumers, we have required the three American Express is offering advice on how manage! Pay off your debts while saving money and avoiding further collection actions to date and.. ( AMS ), which i have a transaction called `` collection American Express american express debt collection kept.