DEBT RELIEF LAW CENTER
Attorney N. James Turner Can Help
Stop The Harassment!
CACH, LLC is a subsidiary of Square Two Financial (formerly known as Collect America). CACH, LLC acquires rights to delinquent debts, then works with law firms around the country, providing them with debt files, court witnesses and other services so that the firms can collect the debts.
A recent investigation by American Banker, a financial and banking publisher, revealed a prominent reason why debt buyers come up short: the forward flow agreement.
A "forward flow" is an agreement between a debt buyer and debt seller to transact a fixed amount of debt over a fixed period of time for a predetermined price. For example a debt buyer and debt seller may enter an agreement to transact $20 million face value of debt each month for 12 months at a price of 7%.
American Banker analyzed a particular forward flow agreement produced in a California civil court case concerning written-off debt that Bank of America sold to debt buyer, CACH, LLC. Bank of America sold these debts to CACH on an "as is" basis.
Some disturbing characteristics of the forward flow agreement, drafted by Bank of America, include:
CACH, LLC would initially receive no documentation to support the debt; CACH, LLC might not be able to acquire supporting documentation even if asked; Some accounts may be have been extinguished by bankruptcy; and The agreement cautioned that some stated balances could be inaccurate. Nevertheless, CACH, LLC went on to file thousands of lawsuits in state courts across the country. This manner of high volume, electronic transfer, and lawsuit churning are "emblematic of wider industry practice."
These forward flow agreements may aid business interests by cutting corners, however, they appear to be evidence showing that debt buyers not only lack necessary proof, but also may be violating the Fair Debt Collection Practices Act (FDCPA) in the process.
From January 1, 2020 though September 1, 2020, Capital One has filed 500 lawsuits against Florida consumers just in Orange County, Florida.
Let me help you fight CACH, LLC.
If you are being sued by CACH, or are suffering debt collection abuse or harassment at the hands of CACH, contact me at (888) 877-5103.