Violation of the Fair Debt Collection Practices Act (“the FDCPA”)

Well, I disputed the debt and requested validation as well as the name of the original creditor since the one listed was Capital One Mortgage and I have never done business with Capital One Mortgage.  When 30 days had passed with no validation from Countrywide, I sent another request which was also ignored by Countrywide.  The FDCPA states that all collection activity is to cease until validation is provided to the debtor.  The debt in question was the mortgage loan that they never stopped trying to collect because they actually foreclosed on the debt while I was and am still waiting for Countrywide to provide me with a validation of that debt.

105.  For purposes of applying the Fair Debt Collection Practices Act (Act) to a particular debt,the categories of debt collectors and creditors are mutually exclusive. However, for debts that do not originate with the one attempting collection, but are acquired from another, the collection activity related to that debt could logically fall into either category. If the one who acquired the debt continues to service it, it is acting much like the original creditor that created the debt. On the other hand, if it simply acquires the debt for collection, it is acting more like a debt collector.  To distinguish between these two possibilities, the Act uses the status of the debt at the time of the assignment: the term “debt collector” means any person who regularly collects or attempts to collect, directly or indirectly, debts owed or due or asserted to be owed or due another. The term does not include any person collecting or attempting to collect any debt owed or due or asserted to be owed or due another to the extent such activity concerns a debt which was not in default a the time it was obtained by such person. 15 U.S.C.S. § 1692a. In other words, the Act treats assignees as debt collectors if the debt sought to be collected was in default when acquired by

the assignee, and as creditors if it was not.

106. Countrywide violated 15 U.S.C. § 1692g(b) when they failed to cease collection of the debt after receiving Plaintiff’s written notification, within the thirty-day debt validation period, that Plaintiff was disputing the debt. 15 U.S.C. § 1692g(b) reads:

15 U.S.C. § 1692g(b) (emphasis added). On December 19, 2008, fifteen days after the date of Countrywide’s debt collection letter, Plaintiff sent Countrywide a Certified Letter with return receipt declaring that Plaintiff disputes your debt collection-related allegations, denies the same,and demands strict proof and verification thereof.  “I have never had a mortgage debt with Capital One and they were not and have not ever Serviced any alleged loan mentioned in your

Correspondence.”  As such, Countrywide should have ceased all debt collection efforts immediately upon receiving that letter on December 29, 2008.  The Certified letter with proof of delivery is attached hereto and made a part hereof as Exhibit “L”.

107.  On January 29, 2009, 30 days after the date of Plaintiff’s request for Validation letter, Plaintiff sent Countrywide a Certified Letter with return receipt declaring that Plaintiff has not received any verification of the debt and again disputes the debt collection-related allegations, denies the same, and demands strict proof and verification thereof.  Countrywide received and signed for this 2nd verification and validation request letter on February 2, 2009.  A few days

later, on February 6, 2009, Countrywide proceeded to allow a Notice of Sale to be Recorded and thus, violated 15 U.S.C. § 1692g(b).  The second validation request letter sent by certified mail and proof of delivery of said letter is attached hereto and made a part hereof as Exhibit “M”.

108.  After debtor properly disputes his debt, he is entitled to grace period provided by 15 USCS  § 1692g(a). McDaniel v South & Assocs., P.C. (2004, DC Kan) 325 F Supp 2d 1210.  The Law firm in that case violated 15 USCS § 1692g(b), part of Fair Debt Collection Practices Act, 15 USCS §§ 1692 et seq., by filing foreclosure actions against debtors before expiration of 30-day grace period provided by 15 USCS § 1692g(a) and by continuing with foreclosure actions after debtors requested verification of debt. McDaniel v South & Assocs., P.C. (2004, DC Kan) 325 F Supp 2d 1210.

109.  Countrywide never sent Plaintiff the verification of the debt at any time or in any manner.  Rather, Countrywide allowed the foreclosure sale to take place on February 25, 2009 in violation of the Act.  Countrywide cannot claim that the debt in question was a separate debt from the debt in the foreclosure.  The fact that Plaintiff was offered $5,000 by Countrywide in exchange for the keys to his home is proof positive that they intentionally violated the Act by foreclosing on Plaintiff’s property before providing the debt validation to Plaintiff.