We are investigating a potential class action against Portfolio Recovery Associates for the collection of “stale debts” for which it fails to verify that the customer owes the amount, and whether it is still collectible under the applicable statute of limitations.
It appears that PRA and other companies purchase these uncollectible debts without sufficient information to determine whether they are due and owing.
Please contact us if you have been contacted by Portfolio Recovery Associates or another debt collector about “stale debts” or debts that you know you do not owe. We are particularly interested in speaking with individuals who have been pursued by multiple companies for the same stale debt.
Related materials:
Liz Pulliam-Weston, “Zombie” Debt Is Hard To Kill, CNN Money, July 24, 2006
Jessica Silver-Greenberg, Dead Soul Is A Debt Collector, Wall Street Journal, December 31, 2010.
FTC Report, Repairing A Broken System, July 2010