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Sued by Encore Capital Group? We'll Negotiate to Reduce What You Owe

Encore Capital Group is the parent company of both LVNV Funding and Midland Credit Management, making it the largest debt buyer in the United States. Encore purchases billions of dollars of defaulted consumer debts annually and collects through its subsidiaries. The CFPB has taken enforcement action against Encore subsidiaries, and the company has been involved in class action lawsuits related to robo-signing, suing on time-barred debts, and other illegal practices.

Type

Debt Buyer

Common Debt Types

credit card, medical, personal loan, auto deficiency

Common FDCPA Violations by Encore Capital Group

Systematically suing on debts past the statute of limitations through subsidiaries

Using robo-signed affidavits to support lawsuits across multiple subsidiaries

Failing to properly verify debt ownership through the chain of title

Inflating debt amounts with unauthorized interest and fees after purchase

Violating consent orders entered with the CFPB regarding collection practices

Your Situation With Encore Capital Group

If Encore Capital Group Has Not Sued You Yet

You have more leverage. Act now — this is the best time to negotiate.

  • Pre-suit negotiations typically get better settlements
  • If you are within 30 days of first contact, we send a debt validation letter
  • Statute of limitations may bar the debt entirely

If Encore Capital Group Has Already Filed a Lawsuit

Do not wait. The collector expects 70-80%, but we still push for less.

  • You typically have a 30-day response deadline
  • Missing the deadline can result in a default judgment
  • Attorney negotiation still reduces the amount significantly

How We Handle Encore Capital Group Cases

  1. Free case review. Tell us about the debt and whether you have been sued. We check the statute of limitations, screen for FDCPA violations, and determine if debt validation applies — at no cost.
  2. Debt validation (if applicable). If you are within 30 days of Encore Capital Group's first contact, we send a debt validation letter via certified mail. This forces them to pause collection and prove the debt is valid.
  3. We evaluate your defenses. Common defenses against Encore Capital Group include statute of limitations, lack of standing (they cannot prove they own your debt), incorrect amount, and FDCPA violations.
  4. Our attorney negotiates directly with Encore Capital Group. We contact the collector, present your financial hardship, and negotiate a reduced settlement. We start at 40-50% and push for the lowest amount possible.
  5. Written settlement agreement. We get everything in writing before you pay — exact amount, payment deadline, dismissal with prejudice (if sued), and full release of claims.
  6. FDCPA counterclaim if applicable. If Encore Capital Group broke the law, our attorney can countersue at no cost to you — the collector pays.

Your Rights When Sued by Encore Capital Group

Right to demand proof they own the debt

Right to dispute the amount claimed

Right to raise statute of limitations defense

Right to countersue for FDCPA violations

Frequently Asked Questions About Encore Capital Group

What is Encore Capital Group?

Encore Capital Group is the largest publicly traded debt buyer in the U.S. They own LVNV Funding LLC and Midland Credit Management. If you are sued by either, Encore is the parent company.

Has the CFPB taken action against Encore?

Yes. The CFPB has ordered Encore subsidiaries to pay millions in fines and restitution for illegal debt collection practices including suing without proper documentation and collecting on time-barred debts.

Can I sue Encore Capital Group?

You would typically sue the subsidiary that contacted you (LVNV Funding or Midland Credit Management), but in some cases the parent company may also be liable for directing illegal collection practices.

How does Encore get my debt?

Encore purchases portfolios of thousands of defaulted accounts from banks and credit card companies, usually for 3-5 cents per dollar. They then attempt to collect the full original balance plus interest and fees.

Reviewed by Ariella, Esq. This information is for educational purposes and does not constitute legal advice.

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