Is Credence Resource Management, LLC, contacting you about unpaid debts?
Whether you’ve seen this name on your phone, in a letter or on your credit report, you might be wondering how to proceed. The longer you avoid a debt collection agency like Credence, the more damage the agency can do to your credit score. In the guide below, we’ll walk you through some simple steps to get Credence Resource Management removed from your credit report and your recent calls list.
Table of contents:
- What is Credence Resource Management?
- How does Credence Resource Management work?
- How to deal with Credence Resource Management
- How to remove Credence Resource Management from your credit report
- Do I have to pay Credence Resource Management?
- What are my consumer rights with Credence?
- Is Credence Resource Management a scam?
- Will Credence Resource Management sue me?
- Should I hire a credit repair company?
What is Credence Resource Management?
Credence Resource Management, LLC, is a debt collection agency founded in Nevada in 2013, with its current headquarters in Dallas, Texas. It also has a presence in Washington State, California and in Pune, India.
Over the years, Credence has collected a lot of debt. In addition to Credence Resource Management, LLC, the agency might appear on your credit report under the following names:
- Credence Collections
- Credence Resource Management AT&T
- Credence RM
How does Credence Resource Management work?
Credence, and other debt collection agencies like it, are third-party companies that purchase outstanding debts for a fraction of their worth. Once it purchases the debt, it is legally allowed to seek repayment, continuously contacting individuals by phone, email and mail until you pay the debt or make an agreement to repay it.
Credence collects for several major companies in the following industries:
Most commonly, Credence collects for popular telecom providers of cable, satellite and mobile services like AT&T and DirectTV.
Unless you come to an agreement with Credence, the account and its damaging effects can remain on your credit report for up to seven years. That’s why it’s so important to act quickly to resolve the situation if it makes its way onto your credit report.
How to deal with Credence Resource Management
The agency is no stranger to consumer complaints, racking up over 800 complaints filed with the Better Business Bureau (BBB) and more than 900 with the Consumer Financial Protection Bureau. In fact, some of the most commonly cited complaints deal with Credence’s lack of response to requests for debt verification. Also, others cited that Credence did not remove the collection from their credit reports after the creditor negotiated an agreement with them.
The best way to avoid this type of encounter with Credence is to communicate with the agency in writing only.
The Fair Debt Collection Practices Act (FDCPA) provides several protections from collection agencies, so it is important to know your rights. Let Credence know you are aware of your rights under the FDCPA and choose to communicate only through letters. No matter how much the agent pleads, don’t make a payment over the phone without a written agreement in your hand first.
That way, all of your negotiations are well-documented in case you need to contest something or Credence seeks any legal action against you.
How to remove Credence Resource Management from your credit report
Credence’s constant calls and messages can seem overwhelming, but negotiating with it doesn’t have to be complicated.
Take these basic steps:
- Write a debt validation letter.
- Negotiate a payment with Credence.
- Get help from a professional.
With the steps below, you can put a stop to the phone calls, settle your account and improve your credit score.
1. Write a debt validation letter
Under the FDCPA, you can send a letter to Credence asking it to validate the debt the collection agency wants you to pay. Since Credence is a third-party agency, as opposed to the company you originally owed the money to, there’s a chance the company does not have substantial validation on file.
If that’s the case, the company has to remove the collection account from your credit report and withdraw the requests for payment. Credence may have your contact information by mistake or through an error on your credit report. Just note this method will work only if you send the letter within 30 days of Credence’s first contact with you about the debt.
If it’s been over a month since Credence appeared on your credit report and contacted you, you should try out the other options listed below.
2. Negotiate a partial payment with Credence Resource Management
If your debt validation letter fails or you missed the 30-day window to contest your debt, it may be time to negotiate a payment with Credence. Debt collection agencies purchase debt for extremely low rates, so even a partial payment on your part could be profitable to Credence.
So, your next best bet is to try to bargain with Credence to remove the account from your credit profile while simultaneously ending the company's collection activities against you.
Offering to pay half the amount you owe is a solid place to start. Even if your outstanding cable bill was $200, you may only have to pay a fraction of the cost. Again, be sure you document your negotiations with a creditor in writing. Once you’ve paid the amount agreed upon, you should see the account dropped from your credit report.
If it’s still there after 30 days, you should follow up with another letter to Credence.
3. Get help from a credit repair professional
Going back and forth with a debt collection agency is time-consuming and dealing with repetitive phone calls from the company can be a nuisance. If you prefer to skip the headache of dealing with Credence Resource Management, you may want to consider hiring a credit repair company to help. A handful of excellent companies dispute claims, seek debt validation and work to remove collections from your account.
Credit Saint is one of the top credit repair companies — one that can settle your issues with Credence quickly and efficiently. The company specializes in dealing with debt collectors and getting results for you. Whatever method you decide on, you should take action today to get Credence Resource Management removed from your credit report. Doing so can stop Credence’s calls and its effects on your credit score.
Do I have to pay Credence Resource Management?
Sometimes, it's human nature to ignore disturbing and annoying problems like third-party debt collectors putting your phone number on their speed dial. They think the problem will eventually go away on its own without uncomfortable conversations. In a way, they're right. The debt will go away. Eventually.
Between now and then, however, you'll have a harder time getting good credit card interest rates, taking out an affordable car loan or buying or refinancing your house. A third-party collection account on your credit report can knock a big hole in your credit history. The better your credit, the more you have to lose.
If you owe the debt and can pay it, then paying off the collection company is your best bet. However, if you don't owe the debt, get started right away by writing validation letters, as described above in step one. If you owe the debt but can't afford to pay off the balance, see step two above to negotiate a settlement. Once again, be sure you're getting the terms of your agreement in writing.
Credence Resource Management has terrible customer reviews, and many of the complaints filed with the BBB stem from disagreements about the terms of a settlement.
What are my consumer rights with Credence?
The Fair Credit Reporting Act (FCRA), passed in 1970, regulates the way credit reporting agencies collect information. As a consumer, you have the right to see your credit report, for example.
When you're dealing with a debt collection agency such as Credence, the FDCPA, as amended in 2010, will be a more powerful tool. Because of this act, you can tell Credence how and when to communicate with you. You can ask for all phone calls, including robocalls, to stop. What's more, you can push back against common debt collector scare tactics that are explicitly prohibited by law. It pays to know your rights.
You can ask for written communication only, which we highly recommend.
If Credence violates your rights under the FDCPA, your entitlement could be $1,000 in fines per violation. You'd probably have to hire an attorney, and spend a lot of money on court proceedings, to claim this fine, however.
Just by citing the FDCPA, you're telling Credence Resource Management you know your consumer rights and that you won't stand for being intimidated or harassed. You can also mention the Consumer Financial Protection Bureau, which enforces the FDCPA and FCRA.
Is Credence Resource Management a scam?
Credence Resource Management is not a scam. If you're hearing from it, it's because the agency believes you owe it money. Chances are it bought some old debt from an account you had forgotten about or just couldn't afford to pay.
Your original debtor, whether it was AT&T, DirectTV, a local utility company or some other service provider, sold your debt to Credence, and now the company wants to collect the money from you. Just because Credence is legit doesn't mean your debt is. Often, these third-party debt collectors get inaccurate information when they buy debt. Your first step when you hear from Credence is to validate the debt.
We recommend writing a debt validation letter within the first week of Credence’s appearance on your credit report or its first contact with you.
Send your letter to:
Credence Resource Management, LLC
PO Box 2300
Southgate, MI 48195-4300
Visit the company's website at: credencerm.com
Call the company's toll-free number (if necessary): 855-880-4792
Will Credence Resource Management sue me?
Debt collection agencies can sue you for the collection of a debt; however, each state's statute of limitations puts a deadline on Credence’s ability to successfully sue you. If it sues you, you could have the case dismissed without even calling a law firm if the debt's statute of limitations has expired. Learn more about these statutes here.
But just because a debt falls outside the statute doesn't mean you shouldn't pay it. It just means that a judge cannot force you to do so. Legal action has no bearing on your debt's ability to harm your credit score. Most of the time, it would take seven years for a debt to disappear from your credit history, whether Credence sues you or not.
Should I hire a credit repair company?
We mentioned getting professional help in step three above. Professional credit repair companies, such as Credit Saint and Lexington Law, can help you get Credence off your credit report. These companies charge a monthly fee plus an initial setup fee, and in return, they do the legwork for you.
They don't have any magic formula. These companies will be doing the same thing we recommended above: validating your debt, negotiating with your debtors and following up to make sure your credit report reflects the agreement.
For many people with collection accounts on their record — especially when the account isn't valid — a credit repair company can save a lot of time and even money. If you're willing to share your sensitive personal information, especially details about your financial life, you may want to hire this kind of professional help.
Removing Credence Resource Management from your credit report FAQs
Can I charge Credence Resource Management for harassment?
While Credence Resource Management is a legitimate company, you might find that they are harassing you. Credence Resource Management cannot violate the Fair Debt Collection Practices Act (FDCPA), which states that harassment consists of:
- Making repetitive calls or communications that are intended to oppress, harass or abuse you or another person
- Using profane language
- Threatening harm or violence
- Publishing names of people who won't pay their debts
- Not revealing their name during a call
Who does Credence Resource Management collect for?
Credence Resource Management is a debt collecting company. It buys debt from other companies at a cheaper amount than what the borrower owes and then tries to collect the full amount. Credence Resource Management collects for companies in the health care, utilities, telecom and banking industries.
Can Credence Resource Management garnish my wages?
Before Credence Resource Management makes an attempt to garnish your wages, they will likely report you to the major credit bureaus: Experian, TransUnion and Equifax. With unpaid bills in your collections, Credence Resource Management can take you to court, which may result in you getting sued. If you fail to respond to a lawsuit or they win the case, they may be able to garnish your wages and take money directly from your bank account.
Update: This article has been updated to reflect current CFPB and BBB complaints against Credence Resource Management.
Disclaimer: This story was originally published on June 23, 2020, on BetterCreditBlog.org. To find the most relevant information concerning collections or credit card inquiries, please visit: https://money.com/how-to-remove-collections-from-credit-report/ or https://money.com/get-items-removed-from-credit-report/