Crooks | Bank of America Sold Card Debts to Collectors Despite Faulty Records

Bank of America Sold Card Debts to Collectors Despite Faulty Records

Bank of America has sold collections agencies rights to sue over credit card debts that it has privately noted were potentially inaccurate or already repaid.

In a series of 2009 and 2010 transactions, Bank of America sold credit card receivables to an outfit called CACH LLC, based in Denver. Co. Each month CACH bought debts with a face value of as much as $65 million for 1.8 cents on the dollar. At least a portion of the debts were legacy accounts acquired from MBNA, which Bank of America purchased in 2006.

The pricing reflected the accounts’ questionable quality, but what is notable is that the bank could get anything at all for them. B of A was not making “any representations, warranties, promises, covenants, agreements, or guaranties of any kind or character whatsoever” about the accuracy or completeness of the debts’ records, according to a 2010 credit card sales agreement submitted to a California state court in a civil suit involving debt that B of A had sold to CACH.

In the “as is” documents Bank of America has drawn up for such sales, it warned that it would initially provide no records to support the amounts it said are owed and might be unable to produce them. It also stated that some of the claims it sold might already have been extinguished in bankruptcy court. B of A has additionally cautioned that it might be selling loans whose balances are “approximate” or that consumers have already paid back in full. Maryland resident Karen Stevens was the victim of one such sale, which resulted in a three-year legal battle.

Rest here…

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4closureFraud.org

Comments
6 Responses to “Crooks | Bank of America Sold Card Debts to Collectors Despite Faulty Records”
  1. The same thing happened to us, but on a larger scale. They sold an (already paid) mortgage to a collection agency, the collection agency (foreclosure Mill) in turn sued us for foreclosure without verifying whether or not the debt was ever paid. Guess what people the debt was paid several months prior. The collection agency is using the cop out language of bona fide error as thier defense. What a scam

    • proseway says:

      David: I also suspect our mortgage was sold to the foreclosure mill (collection agency). When I mentioned this to a forensic loan audit THIEF I was about to hire, he laughed and told me I was dead wrong. Can you give me any idea how I can find out if the loan is now owned by the mill. It’s a big cradle to grave foreclosure mill and they have been stonewalling all discovery efforts. The post below regarding Santander also tells me that if they are doing it with car loans it’s safe to say they are probably doing it with mortgages. Any insight would be greatly appreciated.

      • Who generated the assignment of Mortgage and were the assignments recorded in the county recorders office?? Also google the suspected forclosure mill and see what you find. The assignment of title will tell you alot.

  2. joi says:

    They’re doing the same thing as Santander Consumer USA. The only difference is that Santander is doing it with people’s cars. We as consumers need to get educated about our rights and start fighting back as I did and won and got the victory. Yes, it’s time consuming but worth fighting these crooks back.

  3. Luke says:

    disgusting. I am sick of these collection agencies and their abuse of the system, the fico system and credit reporting that can take ages to get corrected and the unwillingness of the banks or creditors to work with people in these god awful times when people lose jobs, homes and everything. You can go “galt” as i have done and screw them all. Some can’t or won’t do it but once you do the freedom is liberating.

  4. 2 accounts closed, B of A made one into a balance due of penalties $769.00, another closed with a payment of $22.00, error in their accounting turned that into a?still growning at $800.?? at one point was given the opportunity to cut in half, rerfused since it was a bank error and I had the statements, makes no difference both still being reported, seems once a foreclosure and whatever else haapens it is open season for most creditors, they are all above the law!

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