866-654-5605

Calls on my cell phone.

I got the same phone call today (they left a message on my answering machine). My father's estate hasn't been settled and apparently they are calling me to collect his debts. The "we send our condolences" part of the message sounded so cold an insincere. I really hate dealing with bill collectors in general but it is even more annoying when I'm dealing with them in regards to my father's estate.

All--

Go to Senator Charles E. Schumer's website:

http://schumer.senate.gov/new_website/record.cfm?id=309474

He has sent a request to the Federal Trade Commission asking for a formal investigation of these and other "grave robbers":

SCHUMER CALLS FOR FEDERAL INVESTIGATION INTO DEBT COLLECTORS THAT SHAKE DOWN RELATIVES OF DECEASED DEBTORS

Senator 'Dismayed' By Deceitful Practice That Preys On Relatives Who Have No Legal Obligation To Pay Their Deceased Loved Ones' Bills

Schumer Urged Crackdown By Federal Authorities In One-on-One Meeting With New FTC Chairman; In Letter Sent Wednesday, Requests List of Credit Card Companies That Hire Private Collectors To Engage In This Practice

WASHINGTON, DC— Following a meeting with the new chairman of the Federal Trade Commission yesterday, U.S. Senator Charles E. Schumer (D-NY) on Wednesday urged a federal investigation into debt collection companies that pursue payments from relatives of deceased debtors, saying the practice appears to violate existing law.  

"These companies call surviving relatives, often shortly after the death of a loved one, to coax or cajole them into making payments on the deceased relative’s credit card.  To say the least, this practice is distasteful and unethical.  Moreover, this practice may very well violate the Fair Debt Collection Practices Act," Schumer wrote in a letter sent Wednesday to FTC Chairman Jon Leibowitz.

In the letter, Schumer requested an inventory of how many debt collection agencies engage in the practice, and which credit card issuers contract with debt collectors for this purpose. He asked for an explanation as to why the practice isn't illegal under the Fair Debt Collection Practices Act, since that law prevents the collection companies from contacting anyone other than the debtor about outstanding bills. Finally, Schumer inquired whether, short of declaring the practice illegal, debt collectors could at least be required to notify the relatives they contact that they have no legal obligation to pay off the debt.

Schumer's action came on the heels of a high-profile published report last week exposing this practice, which is deceitful since relatives of deceased debtors are not required by law to assume their loved ones' debts. But debt collection agencies conveniently omit this information as they seek to coax the relatives into making payments on the outstanding bills.

A copy of Schumer's letter appears below.

March 11, 2009

Chairman Jon Leibowitz
Federal Trade Commission
600 Pennsylvania Avenue, NW
Washington, DC 20580

Dear Chairman Leibowitz:

I am dismayed to learn from recent media reports that some debt collection companies have made it a practice to attempt to collect unpaid credit card balances – and perhaps other types of unsecured debts – from the families of the deceased.   According to numerous reports, these companies call surviving relatives, often shortly after the death of a loved one, to coax or cajole them into making payments on the deceased relative’s credit card.  To say the least, this practice is distasteful and unethical.  Moreover, this practice may very well violate the Fair Debt Collection Practices Act.  I am hereby requesting that the Federal Trade Commission investigate whether debt collection companies are violating the law when they engage in this practice, and exactly what information they are conveying to surviving relatives who are under no obligation to pay off their loved ones’ credit cards.

The Fair Debt Collection Practices Act, among its many prohibitions, prevents debt collectors from contacting anyone other than the credit card holder without the prior consent of the holder.  Specifically, the Act provides that “a debt collector may not communicate, in connection with the collection of any debt, with any person other than the consumer, his attorney, a consumer reporting agency if otherwise permitted by law, the creditor, the attorney of the creditor, or the attorney of the debt collector.”  “Consumer” is defined in the Act as a “natural person” who owes a debt.  If this language does not apply to a situation in which the consumer is deceased, I would like to know the basis for such an opinion.  

I find it shocking that a debt collection company would determine that it is worth causing profound anguish and embarrassment in order to collect debts that are sometimes as low as $50, or which result in a payment of $15 a month from a widow or widower who is struggling to make ends meet.   If a debt is large enough to be worth collecting, there are legal ways to obtain payment.  First, if a surviving family member has also signed for the card, that family member will be obligated to pay the debt.  Second, an unsecured creditor such as a credit card issuer can obtain payment from the estate of the deceased through a routine probate proceeding, after the holders of secured debt – such as mortgagors– are paid.  This practice of harassing living family members for upfront payments results in putting credit card issuers in the front of the line to get money from an estate, rather than after those who hold secured debt.

Given the current economic situation, in which millions of honest, hard-working Americans are struggling to meet their obligations, this practice is opportunistic and destructive.

In addition to opening an investigation into these practices, I would like the answers to the following questions:

Which debt collection companies (“collectors”) are engaging in the practice of collecting credit card debt from widows, widowers, children, and other relatives of the deceased?

Which credit card issuers are hiring these collectors, or selling their debts to these collectors?  Have the issuers endorsed this practice, either by turning a blind eye toward it or by specifically encouraging it?  

Does the practice of trying to collect unsecured debts from the living relatives of debtors who have passed on violate the Fair Debt Collection Practices Act’s prohibition on communicating with third parties?  If not, why not?  What measures could be taken to make sure that these practices are stopped?

If these practices are currently legal, are these collectors uniformly making sure that they tell living relatives that they have no legal obligation to pay the debt?  Further, are the collectors informing the living relatives of the statute of limitations for collecting these debts?   Are the collectors informing the living relatives that any credit card debt would be paid from the estate only after other secured debts, such as mortgage and car payments, are paid?

Given that the FTC receives more complaints about debt collection companies than any other American business, I hope and expect that you will be thorough in your investigation of this matter.

Sincerely,

Charles E. Schumer
United States Senator

Please read the article posted in this blog regarding Senator Shumer's letter to the FTC.  These people are unethical, disgusting criminals- con artists bent on ripping off innocent people who think they are legally required to settle their deceased relatives' debts.  YOU ARE NOT LEGALLY OR ETHICALLY RESPONSIBLE FOR PAYING A DECEASED RELATIVE'S DEBTS (according to U.S. laws). Hopefully, a class action suit will close down creditors and scam artists like this phony organization, who uses a cold automated message to scare people into shelling out their hard-earned dollars for nothing.  In addition, the con artists actually scan the phone book and contact everyone with the same last name- i.e- "Nelson," so they're not even referring to someone who is related to you!  It is tragic that the FTC takes years to investigate these criminals and meanwhile, hundreds of innocent people fall prey to these scams for a variety of economy-related reasons (to avoid hurting their credit score, etc).  By the time there's a case to prosecute, the organization has disappeared and taken up another scheme, usually involving a systematic loophole in consumer law.

Please read the article posted in this blog regarding Senator Shumer's letter to the FTC.  These people are unethical, disgusting criminals- con artists bent on ripping off innocent people who think they are legally required to settle their deceased relatives' debts.  YOU ARE NOT LEGALLY OR ETHICALLY RESPONSIBLE FOR PAYING A DECEASED RELATIVE'S DEBTS (according to U.S. laws). Hopefully, a class action suit will close down creditors and scam artists like this phony organization, who uses a cold automated message to scare people into shelling out their hard-earned dollars for nothing.  In addition, the con artists actually scan the phone book and contact everyone with the same last name- i.e- "Nelson," so they're not even referring to someone who is related to you!  The automated voice described herself as "Nikia" at an unrecognizable name that sounded like, "Milletich-Collin Associates," although it was impossible to understand since static mysteriously masked the message at the precise second the name was mentioned.  It is tragic that the FTC takes years to investigate these criminals and meanwhile, hundreds of innocent people fall prey to these scams for a variety of economy-related reasons (to avoid hurting their credit score, etc).  By the time there's a case to prosecute, the organization has disappeared and taken up another scheme, usually involving a systematic loophole in consumer law.

I received a letter from them (Phillips & Cohen Associates, 866-654-5605) saying my wife,  who passed  away last  month, owed $8553.50 to certain bank.  They even gave the account number  in the letter.  I went to the bank to see if it was valid, and after researching it told me it was an invalid account number.  Additonally,  I have no bills or corresondence from the bank on this account number.  I'm cognizant of all of our accounts, and I don't know anything about this one.   The BBB gives Phillips & Cohen an A- rating.  There are also several pages of complaints against them on the internet, mostly for harrassment and fraudulant debt collections.   One more thing: their letter tells me I have 30 days to contact them or they will "assume" the debt is valid. If I dispute it they say they will provide verification from the creditor.

My guess is that the letter was sent to "The Estate of XXXX", not directly to your loved one.  This is common practice.. mosts bank do this when someone notifies them of the passing.

The remarks on any letter about offering validation of the debt is for consumer protection against con artists, not to help con artists. This goes for any letter from any attorney or collection agency, living or deceased.  If you didn't pay your phone bill for 6 months, guaranteed you would get a letter saying with the same verbiage.

Keep in mind that debts do not die with a person.  Many states have laws that protect people who are owed money legitimately.  If you are unsure about being contacted about resolving your loved ones final affairs, consult an attorney - not a website.

They called me and asked for the person in charge of the estate of the late Karola. I am still very much alive!!! They knew my birth date and SSN. After I told them that I was not deceased yet, they apologized. I was very upset and hung up on them; so I never found out what they wanted. I am a little nevous about this. I wonder if anybody else got a call for a deceased person who is still alive!

Received call from 866-654-5605 on caller ID-caller hung up when I answered.
I called back and reached Phillips and Cohen. A female asked what phone # I was calling from, then proceeded to tell me the call was concerning a debt my late husband owed-then transferred me to a male who immediately said : "you're not responsible for the debt." All he would tell me was it concerned a "Citi" card. I suspect they are yet another collector associated with a Home DePot card, Citi Commerce solutions, who assured me they would stop their harassing phone calls. I actually next day aired the balance owed Home DePot so they would stop badgering me. Now these morons turn up. Folks, don't get a credit card with any company associated with these ghouls!

Philips & Cohen Collection Agency are GRAVE ROBBERS!
Recieved a call from Phillips and Cohen regarding my late husbands Sears credit card (Citibank). They were looking for payment. I advised them that my husband had the "AccountCare" on his credit card .. they pay off the balance if you die ... as Sears certainly knew since they sold him the plan and billed it to his credit card every month.  AccountCare had been notified a month ago and provided the claim form and death certificate.  Citibank just went ahead and placed the account for collections instead of waiting for AccountCare to pay the balance. Citibank and Phillips & Cohen are disgusting pigs trying to take advantage of families suffering a tradgic loss.  They should all rot in hell. I will be filing a complaint on BOTH companines with the FTC. Hopefully if enough people do this we can stop their behavior. If they call again I have my storm whistle waiting by the phone..... Call at your own risk Phillips & Cohen!!!

Received a voice message from "Chris" looking for a relative by the name of "XXXX XXXX". Said to call 866-654-5605 extension 2277 and gave a reference number.
I don't know of anyone looking for their own relative who would give a reference number.
Sounds like a collection agency trying to fool someone into thinking they are looking for a relative so thay will return a phone call.
Going to ignore this one.

keeps calling for my landlords father, he has been passed away for a year, and why and how they got my home number is beyond me.  they have been told we are not his family and to stop calling and they still call.

Received a call on my answering machine from Phillips & Cohen and wanted to talk to someone regarding _______ _________estate. My husband has been deceased going on 8 years, so this left me very suspicious.  I looked up the phone number they left: 866-654-5605, ext: 2487, and found this information and blogs. Thank goodness I found them! We recently lost the uncle that raised my husband like a father and thought perhaps it had to do with his estate. But on second thought, decided to check it out.  I'm very grateful for all your postings.  Please add mine to them.  Widows Beware!!!

This company has been calling for over 1-year. They just don't care, and think harassment is the only way to get people to pay off their passed relative'd debt. Can any one advise me if there is a pending class action lawsuit against Phillips & Cohen?

Received a call from 866.654.5605 saying to ask Brian at extension 2157 with a reference number. My husband only had two credit cards which I did not sign for, he had ordered a card for me on each.  And once when it was late, during his illness, that credit card company called and the first thing the Rep told me was, "I just want you to know that you are not legally responsbile for having to pay this bill."  I would think that would be the same now that he has passed.

Thank you for this site and the comments to warn surviving spouses to beware. And yes, that "First, my condolences..." line sounds so robotic.  They shouldn't even say it.

I received "the call" today from 866-654-5605 extension 2300 and the female claimed to be with Phillips and Cohen trying to collect a CitiBank credit card debt that she said my brother owed.  I have paid my brother's bills over the last 14 months prior to his death just last month and I knew that he did not owe CitiBank anything.  We had closed his CitiBank account last year when an unauthorized charge titled "Government Payments" showed up on his statement (that too was a scam).  The caller had an attitude with me and was fishing for information from me on my brother.  I have researched this and called CitiBank and they do not show any debt owed by my brother.  It is obvious that this was an attempted scam.  CitiBank stated they have their own collections department (not an outside agency) and it might be wise to report a fraud alert to the big three credit reporting agencies through Equifax.  Oh and yes, the caller started with her condolences about my brother's passing but it was obvious it was just part of the script.  Don't give them the time of day.  Beware!  They are bad news.

This number hung up on me when I answered.
My mother recently passed away, so I would assume that is why they called.

I too have been receiving calls from a person named Colleen at the 866-654-5605 number with a legitimate sounding extension number requesting either the person handling the estate of my husband or a relative to please call her.  I was told by Citibank that his loan was forgiven and therefore have not called Colleen back.  I was made aware of this site by my sister who recognized the phone calls as as an attempt to get whatever they can from unsuspecting survivors.  Survivors - don't fall for this, especially after reading the above messages.

Just got a call from this number.  The person - Patrice Sellers - was as cold as a stone.  I really grilled her for information that she had about my "exe" husband's credit card.  She said that since I was the ex, all she wanted me to do was tell her who was in charge of his affairs now that he is deceased.  It is such a shame since he just passed away 2 weeks ago and these people are already grave chasing.  I didn't give her any information and she was pretty mad about that.  Just insisted that I contact the person who was in charge of his affairs and have them call her.
All I did was call everyone in the family that these people could find and let them know of this scam.

I just recieved a call in regards to my father in laws estate. They asked for my husband, told them he wasn't home and asked for her information Patricia Shaw at 866-654-5605 ext 2226. I also asked where they got our information and was very stand-offish. Glad this site is here!! Thank you.