5/16 UPDATE: I have learned that NCO’s attempt to collect on my phony debt, while sleazy in a number of ways, was probably not fraudulent. Apparently, Bank of America’s policy is to hand questionable debts over to collection agencies immediately if they are assessed against accounts that have been closed - and also to hide this information where ordinary customer service representatives cannot find it. After getting a notice in writing from NCO, I called B of A and got the number for their “recovery” unit, which can see the transactions their ordinary customer service people can’t. The validity of that debt remains in dispute, but NCO’s role in attempting to collect it is not wrongful in and of itself (their methods are, but that’s another issue). As such, please note that to the best of my knowledge, NCO is merely a sleazy collection agency, not a fraud ring.
If you get any collection calls from “NCL NCO Financial Systems” or asking you to call (800) 394-3194, don’t give them any money. Call your local police and the FTC, instead. Today I received a voice message from a certain “Mr. Martin” of that allegedly existent outfit, informing me that it was “very important” I contact him at (800) 394-3194, Ext 5644, but neglecting to tell me why. When I called I was told that Bank of America had filed a claim against my Social Security Number for a $483.61 overdraft, and that it was now going to go immediately on my credit report if I didn’t pay up over the phone. When I pressed him for further details about the claim, he insisted he doesn’t get that information from the bank, so I’d have to contact B of A instead at (800) 432-1000. I was a tad bit skeptical, for a number of reasons:
- B of A had never contacted me about any overdrafts.
- I don’t even bank at B of A anymore.
- When I did bank at B of A, I never had any overdrafts.
- When I banked at B of A, I had overdraft protection, so if I had had any overdrafts they would have been charged to the associated credit card, not .
- When I closed out my account at B of A, the bank confirmed I had a zero balance.
- My old account at B of A was based in a California branch, which uses a different customer service number, (800) 622-8731. The number “Mr. Martin” gave me, (800) 432-1000, is a national number used in most other states. Not an unreasonable guess, however, if you’re trying to scam some random guy in Virginia whose credit report implies that he has a B of A account.
Unsurprisingly, my skepticism turned out to be warranted; a quick call to B of A confirmed that no such claim existed, that they wouldn’t have turned it over to these guys if it had. As it was now pretty clear NCL Financial Systems was a scam, I called them back to request a mailing address so I could send them a check. “Mr. Martin” informed me that they can only accept payment over the phone, and threatened to ding my credit report immediately if I did not pay up. I told him I had never been served with any demand in writing, and he put me on hold for 15 minutes. After that, I was handed over to a female “supervisor,” who reiterated that they can’t accept payment by any method other than telephone because the charge was now “delinquent.” I then requested that she fax me a copy of the report from the bank, so I could investigate it from there. Of course she wouldn’t do that, either, presumably for “privacy” reasons. O-kay.
UPDATE: Apparently I misheard their name, which is NCO Financial Systems, not NCL. I suspect this may be by design; call the 800 number yourself and see if you think they called themselves NCO or NCL. They’ve got plenty of Rip-Off Reports, both under their real name and under their accidentally-on-purpose misheard one. They also have a web site of their own.
UPDATE x2: The story keeps getting weirder. Now, after talking to a second round of customer service, it appears that some schlock made a charge against my account on April 25, a whopping 10 days before NCO started hounding me over this “delinquent” debt, in the amount of … you guessed it … $483.61. Meanwhile, some other schlock allowed the transaction to go forward even though the account had been closed for more than a month, and schlock #3 must have passed the information along to NCO as a joke.
UPDATE x3: See my comments at the topic of the post. B of A has finally fessed up to having turned this “debt” over to collections. That doesn’t make NCO’s collection methods any less sleazy, of course, but it does dispel the notion that they are a fraud ring, as I had originally suspected.