Washington State Department of Financial Institutions

IDS Solutions

Possible Payday Loan Collection Scam

October 11, 2011

The Washington State Department of Financial Institutions (DFI) is warning consumers to verify the license of any lending professional they are considering doing business with.

You can verify a license by calling DFI at 1-877-RING DFI (746-4334) or online at www.dfi.wa.gov.

DFI received a report that an individual contacted a consumer via telephone and identified himself as a representative from IDS Solutions. It was also reported that the representative of this company told the consumer he was attempting to collect a debt on behalf of a payday lender by the name of Cash Net USA; however, no documentation or other details were ever provided to verify this information. Additionally, the representative was reported to have threatened legal action against the consumer for nonpayment of the debt.

IDS Solutions is not licensed by the Washington State of Department of Financial Institutions as a payday lender, by the Washington State Department of Licensing as a collections agent, or by the Washington State Department of Licensing.

Collection activities are subject to the federal Fair Debt Collection Practices Act. Therefore, if you have questions regarding debt collection laws please contact the Federal Trade Commission at 1-877-382-4357 (1-877-FTC HELP), or online at www.ftc.gov.

Also, if you feel you have been a victim of a scam contact the Federal Trade Commission. Because the scammers have access to bank account information and social security numbers, victims should consider themselves victims of identity theft and take appropriate precautions. The Federal Trade Commission has information for victims of identity theft available online at www.ftc.gov.

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