Washington State Department of Financial Institutions

Consumer Alert:
Corporate Financial Management Group LLC

Possible Fraudulent Debt Collection Scam

September 12, 2012

The Washington State Department of Financial Institutions (DFI) received a report from a consumer indicating she was contacted by an individual identifying himself as a representative of a company by the name “BMG/ Huskhawk” regarding an unpaid loan transaction that occurred over a year ago. The representative claimed the consumer owed the company $910 and threatened legal action and jail time for check fraud if payment arrangements were not made immediately. The consumer indicated that the caller had her personal information; however, he would not provide any specific details or documentation regarding the payday loan.

The telephone number associated with this company is (404) 631-6418. The company using that number has been identified by DFI as "Corporate Financial Management Group LLC" and is not licensed by DFI, the Washington State Department of Revenue, or the Office of the Secretary of State. DFI has been unable to confirm any other contact information pertaining to this company.

DFI strongly recommends that consumers deal only with those lenders that are properly licensed to conduct business. Consumers can determine whether lenders are properly licensed using the “Verify a License” feature on the DFI’s website at www.dfi.wa.gov/consumers/findcompany.htm.

Payday Loan Collection Laws

Washington State law prohibits threatening or harassing behavior by individuals attempting to collect a debt. The federal Fair Debt Collection Practices Act states that debt collectors must send consumers a written notice within five days of the first collection phone call, stating the amount of the debt and what it relates to. Debt collectors cannot state or imply that failure to pay a debt is a crime. They cannot call before 8:00 a.m. or after 9:00 p.m. They cannot harass or abuse consumers, or contact consumers' places of employment.

Report Violators

If you feel you have been the victim of a loan scam, contact the Federal Trade Commission at 1-877-FTC-HELP (382-4357), or online at www.ftc.gov.

If you feel you have been the victim of a loan scam involving the Internet, contact the Internet Crime Complaint Center at www.ic3.gov.

If you feel you have been the victim of a loan scam and are concerned about your personal financial information, contact your banking institution, and the three major credit bureaus.

If you wish to file a complaint regarding a collection agency, contact the Washington State Department of Licensing at (360) 664-1389.

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