Being Contacted by Midland Credit Management? Know Your Rights

Who Is Midland Credit Management?

Midland Credit Management is the collection arm of Encore Capital Group, Inc., a publicly traded debt buyer. Encore’s other primary subsidiary, Midland Funding, LLC, is the entity that actually purchases and owns portfolios of charged-off consumer debt (credit cards and similar unsecured accounts); MCM then handles collection calls, letters, and payment processing on Midland Funding’s behalf. A related, now-largely-folded-in entity, Asset Acceptance Capital Corp., appears in some older accounts and legal filings.

Headquarters: Midland Credit Management, Inc. San Diego, CA (addresses used in official correspondence include 2365 Northside Drive, Suite 300, San Diego, CA 92108, and 350 Camino de la Reina, Suite 300, San Diego, CA 92108)

Payment/general correspondence address: P.O. Box 939069, San Diego, CA 92193

Additional office referenced in payment correspondence: 320 E. Big Beaver Rd., Suite 300, Troy, MI 48083

Phone numbers: (800) 296-2657 — main consumer line (877) 653-5193 / (877) 653-4161 — listed for payment options and general inquiries (800) 825-8131, ext. 32980 — Consumer Support Services (“CSS”), a separate internal unit MCM directs certain consumers to contact

Debt buyers of MCM’s size place calls from many local and toll-free numbers tied to the same account, so a call may come from a number not listed here. Ask any caller claiming to represent MCM to send written validation before discussing the debt.

A Documented History of CFPB Enforcement

Unlike many debt collectors, Encore Capital Group and Midland’s regulatory history is a matter of public record, not just consumer complaints:

•          2015 (CFPB Docket 2015-CFPB-0022): The CFPB brought an administrative action against Encore Capital Group, Midland Funding, Midland Credit Management, and Asset Acceptance Capital Corp. for deceptive debt collection tactics, resulting in a consent order.

•          2020 (U.S. District Court, S.D. Cal., Docket 3:20-cv-01750): The CFPB sued the same companies for violating the terms of that 2015 consent order. A stipulated final judgment entered October 16, 2020 required the companies to pay $79,308.81 in consumer redress and a $15 million civil penalty, imposed new disclosure requirements around time-barred debt, and extended key conduct restrictions for five more years.

•          Separately, state regulators — including the Nebraska Attorney General — have reached settlements requiring Midland to reduce or eliminate judgment balances for groups of consumers found to have been improperly pursued.

This is a company that a federal regulator has twice found, through litigated or stipulated orders, to have used unlawful debt collection tactics — not merely a company that draws consumer complaints.

Complaint Volume

The Prado Law Firm’s review of the CFPB Consumer Complaint Database (debt collection complaints, January 2023–present) found Encore Capital Group/Midland Credit Management among the highest-volume debt collectors in the country by complaint count. Consistent with its enforcement history, common complaint themes include being pursued for time-barred debt, disputes over the amount or validity of the debt, and communication tactics.

Your Rights Under the FDCPA and TCPA

•          Written validation of the debt, including the amount and original creditor, with 30 days to dispute.

•          No calls before 8 a.m. or after 9 p.m., no calls to your workplace once you’ve objected, and no repeated/harassing call patterns.

•          Specific disclosures are required before collecting on debt that is outside the statute of limitations — a protection that exists in part because of Midland’s 2020 settlement.

•          The right to demand in writing that contact stop.

•          The right to sue for statutory and actual damages plus attorney’s fees for FDCPA/TCPA violations — generally at no cost to you.

What To Do Next

Request written debt validation, keep a log of every call and letter, and don’t pay or promise to pay until you’ve confirmed the debt is yours, for the correct amount, and still legally collectible. If MCM has called outside legal hours, pursued a time-barred debt without proper disclosure, continued contact after you disputed the debt, or otherwise crossed the lines described in its own 2020 settlement with the CFPB, you may have a claim. Contact The Prado Law Firm for a free case review.