FOR IMMEDIATE RELEASE
January 5, 2015

DEPARTMENT OF CONSUMER AFFAIRS SECURES NEARLY $1 MILLION IN CONSUMER RESTITUTION FROM DEBT COLLECTION AGENCY THAT ILLEGALLY COLLECTED ON PAYDAY LOANS

In Largest Settlement in Consumer Affairs’ History, More Than 4,600 New Yorkers Eligible for Refunds

 Consumer Affairs Secures $1.5 Million More in Restitution in First Six Months of Fiscal Year, Up 85 Percent from Last Year

Department of Consumer Affairs (DCA) Commissioner Julie Menin today announced a record-breaking settlement with National Credit Adjusters (NCA), a debt collection agency formerly licensed by DCA that collected on illegal payday loans from New Yorkers. NCA agreed to pay $962,800 in consumer restitution to at least 4,663 New Yorkers, the highest amount of restitution ever secured by DCA through settlement. NCA must also notify eligible New Yorkers that they are owed money and submit requests to the credit reporting agencies to delete the negative information they provided for those New Yorkers. The agreement requires the company to stop collecting all debts in New York City. NCA is also banned from applying for a debt collection agency license in New York City for at least six years, and is ordered to pay $350,000 in fines.

Read full press release: National Credit Adjusters Settlement Announcement