How to deal with Resurgent Capital Services

Resurgent Capital Services is an experience third-party debt collection agency in the United States. They have been in business since 1998. They have about 420 employees with headquarters in South Carolina. 

Just like dealing with any debt collector, be prepared. Verify that you owe the debt, that the company does not harass you, and that you have the right tools to settle your debt.

What is Resurgent Capital Services? Are they real or a scam?

Resurgent Capital Services is not a scam. It is a real debt collection agency. LVNV Funding buys debts from credit card companies and banks. They also buy debt from many industries, including telecommunications, utilities, health, cable companies, and financial service providers. They then outsource the debt to Resurgent Capital Services who manage the collection account.

Do you owe Resurgent Capital Services money?

Resurgent Capital Services services debt from many creditors. Like most big debt collection agencies, they usually buy the debt for pennies on the dollar. They may appear on your credit report, or Resurgent Captial Services LLC may contact you with these names: LVNV Funding, LLC, Pinnacle Credit Services, LLC, CACH, LLC.

However, there are various reasons that you may not owe Resurgent Capital Services money. For example, the debt may not belong to you, the statute of limitations expired, or you already paid off the debt.

Step 1 - Validate your debt

Validate a debt when Resurgent Capital Services contacts you to collect a debt. After the initial contact, you have 30 days to validate the debt, so act quickly. It is advisable to send a registered letter. Validate the debt even if you are not sure if you are responsible for it.

According to the law, Resurgent Capital Services must validate the debt. If you don’t receive proper validation, then send a notice of insufficient validations. If Resurgent Capital Services Inc. cannot validate the debt, it has no legal basis to collect it.

>>Learn more: Follow the steps described in the Bills.com debt validation article to preserve your rights under the FDCPA.

Step 2 - Check to see if the Statute of Limitations (SOL) is valid.

Statute of limitations laws are complex and not easy to understand. SOL laws set the amount of time a creditor can sue and collect on the debt. In most states, a third-party collection agency like Resurgent Capital Services cannot sue. 

However, the creditor may have a different opinion on the expiration date due to re-aging a debt or the relevant state law that applies. It is always wise to respond to a lawsuit.

In any case, Resurgent Capital Services still have the right to contact and get you to negotiate a settlement.

>> Learn more: Learn more about states' laws regarding statute of limitations.

Stop Resurgent Capital Services Inc. from debt collection harassment.

Debt collectors often are extremely aggressive in their collection tactics. Resurgent Capital Services is strictly regulated by The Fair Debt Collection Practices Act like other debt collection agencies.

Here are some of the actions that they are forbidden to do:

• Call at an unreasonable time such as before 8:00 AM or after 9:00 PM
• Contact a Consumer at Work
• Seek Unjustifiable Amounts
• Use the Telephone to Annoy or Harass
• Use Abusive or Threatening Language
• Threaten Arrest
• Contact a relative, friend, or colleague who doesn’t own the debt

If you believe Resurgent Capital Services violated your rights under the FDCPA, consult with a consumer rights attorney in your area. Discuss possibly filing a lawsuit against the collection agency; not only could a lawsuit result in the cancellation of your debt, but you could be awarded damages.

Learn how to negotiate your debt with Resurgent Capital Services

Resurgent Capital Services will contact you, hoping to collect your debt. They are interested in getting you to do a full payment or set up a payment plan.

We provide flexible payment plans to create the easiest possible path forward in paying your debt. Customize your plan by setting how often, how much, and when you’d like to pay.

However, like other debt collection agencies, Resurgent Capital Services will negotiate your debt.  

Your first option is to negotiate directly with Resurgent. Dealing with a collection agency is stressful. It takes a significant amount of time and effort. It is helpful if you convince Resurgent Capital Services that you are in a hardship. Here are three tips: Be calm, clear, and convincing. Be persistent. Send a debt negotiation letter.

If you do not feel comfortable negotiating, then partner with a debt negotiation company. Debt settlement companies rely on databases of past settlements, so their negotiators know what range original creditors and collection agencies have accepted for payments in the past. They can reach a negotiated settlement with your debt collection agency quickly.

Complaints and lawsuits about Resurgent Capital Services

Like most collection agencies, Resurgent Capital Services has complaints registered in the BBB and the Consumer Finance Protection Bureau (CFPB). The CFPB has complaints about collecting a debt that the consumer didn’t owe, harassment, and impersonating an attorney, law enforcement, or government official. The complaints themselves are not proof of illegal or improper activities, although a good source to learn about how consumers perceive the interactions and problems they have with the debt collection agencies.

Here is a couple of example of complaints:

Attempted to collect wrong amount

"First off, this collection adds to my amount owed about every 2 weeks ... the original credit card debt was {$400.00} with that being the limit. This collection account is now over {$1000.00} from the original {$400.00}. I first attempted to go online to settle this debt online with LVNV. Online said accounts were not available. On XXXX XXXX, I emailed resurgent capital services who manages LVNVs accounts. I got a reply the next day stating that I am not eligible for a settlement at all. I was told to call XXXX to work out payments. I tried calling XXXX on XX/XX/2020 and they told me my file is not with an agency and they could not help me and to call resurgent back. I called resurgent back right after and they again said to call XXXX. I have just been getting the run-around and would like this debt settled/ off my credit and they have been denying me that. They were first on my list of 3 collections to take care of and I already had to skip them and within 30 mins I had the other two collections settled with XXXX XXXX easily.".

False statements or representation "Regarding : Breach of Contract XXXX XXXX Account Ending in Visa Credit Card XXXX {$1300.00} Case Number XXXX XXXX Dear Sirs ; As a debt buyer I expect and require you provide a copy of the application for credit with my signature electronic or otherwise for proof this is my debt. According to my records this debt does not appear on any of the three XXXX, XXXX XXXX or XXXX credit reporting agencies credit reports was not authorized for me or by me was never mine I submitted a complaint to the XXXX. The ID # is XXXX. I have submitted a complaint to Texas Attorney General My record keeping does not suggest I have this debt. They do not have any evidence to substantiate its claim that this debt Breach of Contract XXXX XXXX Account Ending in Visa Credit Card XXXX {$1300.00} Case Number XXXX XXXX is a legitimate debt. Furthermore, there has been neither proof that LVNV Funding has permission to collect this debt, nor have they provided previous verification of this debt. While I understand LVNV Funding LLC, ( LVNV ) buys past due debts from banks and finance companies. LVNV then hires Resurgent Capital Services LP ( Resurgent ) to manage that debt, and hires XXXX XXXX XXXX to prosecute consumers, this is NOT acceptable. You did not complete your due diligence in this matter because this is not my debt. I want your company provide proof this is my debt."

Deal with a Resurgent Capital Services lawsuit

Resurgent Capital Services cannot make empty threats to sue you when making a collection call. However, they do have the right to start a lawsuit and pursue legal remedies such as a wage garnishment or bank levy.

If Resurgent Capital Services files a lawsuit against you, consult with a lawyer in your state with consumer law experience. You must file an answer to their summons and complaint or risk losing the lawsuit by default. Ignoring a summons will not make it go away, so take action to respond to the lawsuit.

Can you remove Resurgent Services from your credit report?

In general, you can only remove incorrect items on your credit report. Negative tradelines stay on your credit report for seven years from the delinquency date. Bankruptcies remain for ten years, and judgments can remain for even longer if the creditor renews them.

However, there are circumstances that you may see an inaccurate item from Resurgent Capital or a company associated with it. In that case, it is possible to file a dispute with the Credit Reporting Agencies and have the negative items removed from your credit report.

According to their website, Resurgent will ask for a deletion of their tradeline once the account is paid in full. However, this will not affect your original debt. 

"If an account is paid in full or settled in full after we begin credit reporting, we will submit a delete request to the credit reporting agencies after the payment resolving the account is processed. Note: We do not control the timing within which the credit reporting agencies process our requests.

>> Learn more: Learn how to dispute a credit report.