My yearly insurance policy statement states that I took out a premium loan. I have no knowledge of either asking for the loan, or recieving the money. I asked for an explanation and wasn't given one. I asked for a list of transactions for the last few years and they sent me information going back only 2 years. The 'loan' was taken out earlier than this, so I still have no explanation. I'm on a disability pension and can't afford to pay the loan off. What are my rights? Do you have an explanation?
2006-09-17 05:43:36 · 13 answers · asked by Anonymous in Business & Finance ➔ Insurance
Sounds as if they're trying to scam you, unless they've mixed you up with someone else. Get a legal opinion.
2006-09-17 05:46:31 · answer #1 · answered by The Gadfly 5 · 0⤊ 0⤋
It's either an accounting/data entry error, someone scamming them into thinking the scammer was you, or outright inside theft.
They'll have to provide proof that you actually received the money. If they cannot produce a cancelled check to you or (at the very least) statements showing the pertinent information, they can't legally collect. If they could, that would mean anyone could walk up to anyone else and demand money on a supposed debt!
There is also a limit on how long old debts can be legally collected (though I don't know what this is. You can find this out with some internet searches).
Tell them to go pound sand.
The fact that they don't have a leg to stand on doesn't mean they won't try anyway. Collection and fraudulent/negligent collection is a big business in the USA. They may continue to insist that you owe them the money and may initiate collection actions against you, in which case you will need some legal advice. There are low-cost legal advisors availble in most cities for folks in your situation- you might take a look in the phone book or on the net.
Good luck!
2006-09-17 12:56:58 · answer #2 · answered by MrPink 2 · 0⤊ 0⤋
Dispute the debt. If they cannot show you your signature on the loan documents, you do not owe the debt. Too many people are falling victim to identity theft, and the burden is on them to prove that you owe the debt, not on you to prove that you do NOT owe the debt. This is what you must do:
Call up the people trying to collect the debt and tell them that you are disputing the debt and that you want the dispute reported on all three of your credit bureaus. Tell them that according to the Fair Debt Collection Act of 1974 they have 30 days to investigate and PROVE the debt is yours; if they cannot prove it, then you do not owe it by law.
Tell them that they must provide you with a certified copy of your original signature on the original loan papers before you will be satisfied that the debt is yours.
Contact Equifax, Experian and Trans Union and tell them you suspect you are a victim of fraud and they will each send you a copy of your credit report for free. Go over those reports with a fine tooth comb and dispute EVERYTHING that you are not absolutely sure is your debt.
The three credit bureaus also have 30 days to investigate and prove the debt is yours; if THEY cannot prove it; then you do not owe it.
However, all that being said, IF the collection agency can and does produce a document with your signature on it, you must pay the debt, but you can still make arrangements to pay 5% of the debt until the debt is paid off. You can also make an offering compromise to pay a lesser amount all at once in forgiveness of the whole debt.
If you are truly confident that the debt is not yours, dispute it. You DO NOT have to hire a lawyer or go to the courthouse to do this.
Get after it, and good luck!
2006-09-18 14:28:06 · answer #3 · answered by Rebecca 7 · 0⤊ 0⤋
It sounds like they have made a mistake. If you truely have no recollection of this and they cannot provide you with evidence of such a loan, then no court would require you pay this. They have to have proof. Also, if you end up in collections, in most states (it may even be a federal thing) the collection co cannot report to your credit company of default if you are disputing a charge. Sounds like you should seek legal aid to get to the bottom of it. I would imagin also if there was a loan dating back several years, it would have continually shown up on your statements. Insurance companies don't just forget about money owed and then remember later, but they do make mistakes with billing. Seek legal aid. Good luck.
2006-09-18 03:13:58 · answer #4 · answered by J O 2 · 0⤊ 0⤋
Your question is very vague!! What insurance policy is this, that you have a statement? Life insurance? Did you borrow against it? Do you not REMEMBER if you borrowed against it or not? Your not remembering doesn't matter . . .
It could be the type of policy where the equity is taken out to pay the premiums. There should be an agent listed on the statement. You should call your agent and ask them.
Who exactly did you call, that refused to give you an explanation? Or did they give you one, and you didn't understand it?
2006-09-17 17:09:13 · answer #5 · answered by Anonymous 7 · 1⤊ 0⤋
If you are on disability, and can't afford a lawyer, go the courthouse and check the Legal Aid department. They can give you an attorney who can check this out a lot better and quicker then you can. Your rights are demanding them to show proof of this "loan." Also,go to Better Business Bureau and have them check on this. Best wishes
2006-09-17 15:04:22 · answer #6 · answered by makeitright 6 · 0⤊ 0⤋
Demand a copy of the loan paperwork. If they do not supply it, get a lawyer. If they supply it and you are not the one that filled the paperwork out, get a lawyer and notify the states insurance commission. I would also notify the national identity theft center. You should also get a copy of your credit report and see if the loan or any other information you dispute is on it.
2006-09-17 12:55:36 · answer #7 · answered by mikis1967 3 · 1⤊ 0⤋
Sounds like someone either stole your credit or they are trying to rip you off. If they can't produce documents that you signed with the terms of the loan or other clear documents you shouldn't be responsible. But you are going to need some legal advise to make sure it doesn't end up effecting your credit permanently.
2006-09-17 12:53:39 · answer #8 · answered by Anonymous · 0⤊ 0⤋
Call a lawyer and have older record supeoned, only the cops can do that. Otherwise call the company and demand to talk to a supervisor or the person in charge. Also look into it further to make sure they arent scamming you or to know that someone else didnt take that loan under your name. Good luck to you.
2006-09-17 12:53:23 · answer #9 · answered by plaster_employment 2 · 0⤊ 0⤋
Sounds like they may have you mixed up with some one else. They may have your policey mix up, Contact the home office, If they dont want to give you all of the past transactions of your account, contact the BBB and tell them how the co. is treeting you. they have to proovr you got the money. They should have a record of you cashing the check. Stay on them, dont let them cause you to worry your self about their mistake. Fight THem.
2006-09-20 14:46:12 · answer #10 · answered by mswildman2005 2 · 0⤊ 0⤋