Latest news with #Redon
Yahoo
26-05-2025
- Business
- Yahoo
‘Beyond the pale': Atlanta ‘phantom debt collector' pressured people into paying him for debts they didn't owe
Having debt is never fun. And when a representative from a lender calls you asking for the amount you owe, your nerves may get the best of you. But what if you're being harassed? Worse yet, for a debt you don't really owe? Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) Kenneth Redon III, a former debt collector who owned Global Circulation, Inc. (GCI), has been barred for life from the debt collection business after harassing a number of individuals to pay debts that didn't exist, according to a Federal Trade Commission (FTC) release. But this isn't a new scam. Back in 2023, Sherrel Dunn was a victim of the same scheme. 'You just feel violated,' she told WSB-TV. 'You feel helpless.' According to the FTC release, Redon 'threatened consumers with jail time, lawsuits, and wage garnishments to pressure them into paying debt they didn't actually owe.' WSB-TV spoke to FTC Senior Attorney Gregory Ashe about the tactics Redon used. In addition to assuming a number of false names, he also called his victims multiple times a week, sometimes calling several times a day. Ashe also said 'in many instances [Redon] had some forms of the consumer's personal information. And so they would say, 'is this not the last four digits of your Social Security number?'' Redon's company allegedly claimed the business was affiliated with certain lenders to further trick borrowers into paying their phantom debts. The FTC's release also states it filed a temporary restraining order against GCI and said Redon violated parts of the Fair Debt Collection Practices Act (FDCPA) and the Gramm-Leach-Bliley Act. Under the FTC's proposed order, GCI and Redon also have a monetary judgment of $9,684,338 imposed, but this will be suspended once any remaining assets are turned over. However, if Redon and his company are found to have misled or lied about their business finances, then the judgment remains in effect. 'Using a playbook of intimidation and threats of jail time to coerce consumers into paying debts that they don't owe is beyond the pale,' said Christopher Mufarrige, director of the FTC's Bureau of Consumer Protection in the same press release. 'The FTC will not hesitate to act against phantom debt collectors to shut down their operations.' Read more: This is how American car dealers use the '4-square method' to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs The Consumer Financial Protection Bureau says the Fair Debt Collection Practices Act prevents debt collection companies from contacting you during certain hours. They are forbidden from abusing, harassing or making misleading statements to individuals who owe debts. As an example, a debt collector is not allowed to call or contact you repeatedly, especially with the intention of threatening or annoying you. Debt collectors are required to identify themselves and can't call before 8 a.m. or after 9 p.m. If you're on the phone with a debt collector or have received a letter, you have a right to know how much you supposedly owe and what the debt is for. You can also dispute the debt or verify whether the debt is actually yours. Even if the debt is legitimate, you still have a right to take some space and ask the debt collector to stop contacting you. That doesn't mean you don't owe the debt, though, they'll just take another legal approach. A major red flag is if a debt collector refuses to tell you the name of the lender you allegedly owe, or if the collector is vague about their own identity or the amount owed. Get as much information as you can in writing to ensure the claim is real. If someone calls you and refuses to provide written documentation, then they're most likely a scammer. Remember, you have the right to ask the debt collector for information about the original lender, assuming the debt was transferred to another company. If a person calls you saying that they are a collector and tries to threaten you or to confirm sensitive information (like your Social Security number), hang up and contact the alleged debt collection company yourself to see if it's legitimate. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Yahoo
02-05-2025
- Business
- Yahoo
Fake debt collector barred from business after harassing people into paying money they didn't owe
A Georgia debt collector is barred for life from the debt collection business after federal regulators say he harassed people into paying him debts they never owed. According to a new Federal Trade Commission settlement agreement, Kenneth Redon III is 'permanently restrained and enjoined' from debt collection. 'It's very easy, otherwise, for the individual to just create a new company,' said FTC senior attorney Gregory Ashe. Channel 2 Action News Investigates first reported on Redon and his Atlanta-based company, Global Circulation Inc., in November. The FTC said Redon was harassing people into paying back debts, they did not even owe. TRENDING STORIES: LIVE UPDATES: Severe Thunderstorm Warnings issued across metro Atlanta, north GA Rats taking over woman's Gwinnett apartment as city cracks down on complex At least 4 injured after manufacturing facility roof collapses in Forsyth County 'Not only were they using egregious tactics such as these false threats of imprisonment, false threats that they were going to garnish wages or file some civil action, but the debts themselves in the most part were not even real,' Ashe told Channel 2 consumer investigator Justin Gray. According to the FTC complaint, under a variety of company names, Redon would 'collect and process payments for debts that consumers do not actually owe or that Defendants do not have authority to collect' and would 'call consumers, often multiple times a week and multiple times per day.' The FTC said the fake debt collector had just enough real information to scare consumers into paying. 'The defendants in many instances had some forms of the consumer's personal information. And so, they would say, is this not the last four digits of your social security number?' Ashe said. You have rights with debt collectors. They have to show you documentation proving what the debt is and where it came from. Nobody can be arrested over a debt. The FTC encourages anyone who thinks they are a victim of Redon or another shady debt collector to file a complaint HERE.
