State reaches settlement with debt collector

Georgia has reached an $8.5 million settlement with National Check Resolution Inc., resolving charges that the debt collection company committed multiple violations of the federal Fair Debt Collection Practices Act and the Georgia Fair Business Practices Act.

“Our office will hold debt collectors that try to coerce and intimidate consumers by employing abusive, deceptive and illegal tactics accountable,” Attorney General Chris Carr said.

National Check Resolution, owner Samuel Tulumello and manager Rhonda Tulumello allegedly harassed and deceived consumers by claiming that they had committed a crime and threatening them with arrest or imprisonment; falsely representing themselves as attorneys, legal couriers or government entities; and failing to disclose that they were debt collectors attempting to collect a debt.

The settlement provides that National Check Resolution must cease collections on 11,980 accounts it owns and turn those accounts over to the state so that they cannot be sold or collected on in the future. This represents $8.5 million in consumer debt.

The company must also pay a $20,000 civil penalty and fully comply with the Fair Debt Collection Practices Act and the Georgia Fair Business Practices Act going forward.

© 2018 by The Georgia Report

Tags: attorney general , debt collections