Unlicensed Debt Collection Company Barred from Collecting Debt in Minnesota After Aggressively Pursuing People for Fake Payday Loans
released on May 15, 2017
found in newsletter: May 2017
Attorney General Lori Swanson obtained a judgment in April, 2017 against Global Gateway Solutions, Inc., which used call centers in Jamaica to make unlicensed collection calls attempting to collect fake payday loan debts—or “phantom” debts—from Minnesotans who did not owe them. The judgment permanently bans Global Gateway from collecting debt in Minnesota and requires the company to pay a civil penalty and restitution to Minnesota residents from whom it collected payments on fake debts.
The Attorney General sued Global Gateway in August of 2016, alleging that the company violated Minnesota’s debt collection laws. The lawsuit alleged that Global Gateway tried to bully Minnesota residents into paying off fake payday loans they had never taken out, including threatening to file lawsuits, having the person arrested, or sending the sheriff to their home if they didn’t pay the money.
The judgment was filed in the Anoka County District Court against Global Gateway Solutions, Inc., which also did business as First Recovery Associates, Northwest Recovery Associates, and National Recovery Associates.
People may report complaints about Global Gateway or other phony debt collectors to the Minnesota Attorney General’s Office by calling (651) 296-3353 or (800) 657-3787. People may also download a Complaint Form from the Attorney General’s Office and mail the completed form to the Attorney General’s Office at: 445 Minnesota Street, Suite 1400, Saint Paul, MN 55101-2131.
Original Press Release