Short answer
Arrow Financial Services closed up shop. The Resurgent Capital Management, Sherman and LVNV brand picked up a good portion of the Arrow debt portfolio. If you are trying to resolve or settle an old Arrow account or judgment, start with LVNV customer service at 888-665-0374.
Key points on this page
- Arrow Financial Services was once a major buyer of charged off credit card debt, and one of its more aggressive collection methods was using the courts.
- There is little public information about who bought the Arrow portfolio, but the Resurgent, Sherman and LVNV brand is confirmed to have taken a good portion of it.
- To trace and resolve a former Arrow account, reach out to LVNV at 888-665-0374.
- Default judgments happen when a summons and complaint gets ignored, or when someone never knew they were being sued. Those judgments can then be collected on, or sold off to another debt buyer.
- The two situations that usually force this search are mortgage underwriting asking for old judgment debt to be resolved, and a home sale that needs clear title, including a short sale.
Arrow Financial Services was once a major player in buying up bad debts like charged off credit card bills. One of the more aggressive ways Arrow sought to collect on old unpaid credit card debts was to use the courts.
Debt buyers like AFS send some of the debts they buy up on the cheap to an attorney debt collection law firm. Arrow and other bad debt investors rely on the fact that 90% or so of people are not sure about how to deal with a debt collection lawsuit.
People get served a summons and complaint on an unpaid credit card bill and tend to put their head in the sand. What winds up happening when the lawsuit gets ignored, or where a person was not aware they were being sued (it happens), is a default judgment is entered. Those judgments can then be collected on, or even sold off to another debt buyer.
Arrow Financial closed up shop. Where did the debt go?
In just the last week I have gotten a couple of questions on and off line about how to find where Arrow Financial Services judgment debt has gone. In all cases the requests were related to:
- Someone trying to qualify for a mortgage and underwriting suggests they cannot approve a new loan, or the approval on a new loan will have an increased likelihood of success by settling old judgment debt.
- Someone trying to sell a home and satisfy or settle the judgment debt in order to pass clear title. Even if the home owner is trying for a short sale.
It is difficult to find much public information about who purchased the Arrow portfolio, or portions of it. According to a person I spoke with last week, they have a former arrow judgment account that they tracked to LVNV now owning.
LVNV is a Large Debt Collection Agency
LVNV is part of the Resurgent Capital Management and Sherman Acquisitions brand. I was able to confirm that Resurgent/Sherman/LVNV brand did pick up a “good portion” of the Arrow Financial Services debt portfolio.
If you are looking for how to resolve or settle Arrow Financial Services debts, start by reaching out to LVNV. You can reach them by calling their customer service at: 888-665-0374.
If you have any questions or concerns about resolving an old Arrow Financial Services debt with LVNV, or another debt collector, or having trouble finding who has your debt, post questions and comments in the comments below for feedback.
Hello, this information has been very helpful.
I have a judgment from Arrow that is on my credit report. LVNV is also reporting the account (they must have bought it from Arrow, as I understand from reading this discussion), but the amount they are reporting is more than $3K more than the judgment. My question is: are they allowed to continue adding fees and interest to the judgment amount? Also, is the statute of limitations on the LVNV account the same as that of the judgment, or does it correspond to the SoL of the original creditor?
Thank you for your help.
Harvey – Judgment debt can have an interest rate attached to it. That rate is set by the court. You should be able to read through the court documents and find what interest rate is being applied to the Arrow Financial judgment.
Judgments do have a shelf life. Mostly of 10 years, but the judgment can be renewed, and depending on the state, for another 10 years or even longer. It is definitely something you want to deal with in order to avoid any wage garnishment, bank account levy, or property lien. You can read more about resolving judgment debt here: https://consumerrecoverynetwork.com/question/can-you-settle-credit-card-judgements-like-other-debts-stressed/
Credit card judgment debt will be on your credit report for 7 years from the date Arrow Financial Services got it entered in the court. Judgments have their own credit reporting time line separate from credit reporting from the original creditor.
Hello Micheal, I have a judgement that went to the Marshalls in NYC for arrow due to a past credit card, it was never paid, now like many others I see Arrow is out of business, I wanted to know if I can get this removed from my account, this was back in july, 2009… trying to get a lawyer to represent my case, now as I want to purchase a home…
Mcw – It can be difficult to unwind a judgment through the court after 4 years. I am not sure what the attorney you find will be able to do. It would be a good idea to locate a couple of attorneys with debt collection defense experience and consult with each for multiple opinions.
If an unpaid judgment is holding you back from purchasing the home you want, you may need to remit payment to the court in order to get the judgment to reflect satisfied.
Did you contact LVNV at the number in the original article above to see if they have the debt now?
yes I contacted a lawyer and no lvnv doesnt have it, I am going to pay it and get the charges reduced and have it removed after that…
thank you.
they moved into canada
Arrow Financial obtained a judgment debt against me which I now wish to settle in order to convey title to a home. But I can’t seem to find them to pay them off! LVNV does not have the debt. Any other leads?
Olga – I have a few leads that I am working on thanks to some off line communication with some of this sites awesome readers. I am not holding out for direct confirmation or clear direction to offer people, but perhaps some additional resources to refer readers to. LVNV is the only confirmation I have to date. I do want to point out that LVNV is a good example of how to communicate properly with the public.
Olga – An option in order to convey title would be to pay the full Arrow Financial Services judgment amount to the court and get the lien released that way.
I had a collection with arrow that I paid off in April of 2011. I have a confirmation number from arrow that it was paid and taken care of. Now I have LVNV attempting to collect that debt. What can I do?
Mary – gather up your settlement documentation and proof of payment. Make copies (do not send originals), and fire that off with a dispute letter to LVNV sent certified mail return receipt (so you get the green card proving they got your mail). It would appear Arrow Financial Services mistakenly included your settled account in with the debts they sold to LVNV. If you have any problems after that, post a follow up comment and lets go from there.
I have a judgement from March of 2008 in favor of Arrow. What should I do to have this removed from my credit report since I can no longer pay them. Can I speak with someone from the court and have them throw the judgement out? LVNV hasn’t reported on my account and I’d rather not call them and have them look into my account.
Marc – You cannot do much to have the Arrow Financial Services judgment removed from your credit report. Judgments appear in the public records section of your credit report. The integrity of that information is managed by the court. You can either payoff or settle the judgment in order to get it to reflect it is satisfied, or wait for it to age off of your report. The court is not going to “throw the judgment out”.
Had the same problem with the IRS the 1099c of $3500.00. I know I have had no dept of any kind in over 20 years but I guess it is possible that this might be one from 20 years ago during the divorce ( do not believe it is), but possible, if so can they go back that far. Plus how do I get a company that is no longer in business to validate that the debt is not mine?
Russell – Another commenter on this page had success contacting the IRS and writing in to Arrow Financial Services. The commenter just posted an update a couple days back about the successful resolution of the IRS tax treatment on a 10 plus year old debt. Scroll up and read through my comment exchanges with “This makes no sense”. I asked a former IRS and current tax pro to weigh in on that section of the comments too. From the little you shared in your comment, it would makes sense for you to duplicate some of what was shared.
I have a judgement from Arrow Financial 10/2008 original debtor was Washington Mutual credit card. I live in AZ now, but judgment is in California were I used to live. My credit report now shows a collection from LVNV original debtor is the same. I am trying to purchase a home what can I do? Just found out they are no longer in bussines.
Bea – Call the number to LVNV I put in the original article above and verify they are who now owns the Arrow Financial debt. The fact that LVNV is now showing on your credit report is a strong indication they are who have your debt now.
I would not go into any detail with LVNV about your goal of buying a home if you are ultimately trying to resolve this by settling for the most savings on the debt. What is the amount owed on the debt now? Are you prepared to fund a settlement in order to accelerate your goal of buying a home?
my judgement is for $2,148 but the amount that show’s on my credit report from LVNV is $4455 I don’t know why it’s so high, but original owner show’s the same. Any yes I am trying to settle in order to buy a house. But if they want me to pay $4455 I am not paying. I guess I can just wait another 2 yrs. and wait to fall off my credit report.
Bea – The Arrow Financial judgment grows with interest set by the court that cannot exceed your states cap. If you want to wait 2 years until the judgment entry is off of your credit report (be sure you are calculating the date the judgment was entered in the court record, not the date you first missed a payment on the account to the original creditor), I hear you. Just know that the judgment is not going anywhere, and is going to continue to grow. That judgment can lead to wage garnishment and bank account levy.
You may want to talk with a local loan officer about whether the judgment being on record in the local court, even if off of your credit report, will impede your ability to get a loan approved. There are instances where judgments already aged off of your credit still impact home loans.
Hi, I have a debt that was went to Arrow Financial and was sent to judgement in court with the disposition date being in 2010. Currently, I have a part time job and my paycheck is being garnished which is really affecting my ability to live above the poverty line at this point. Is there anything I can do? Any arrangement I can make to stop my check from being garnished?
Christina – you can petition the court the judgment is in for a hearing to show the garnishment is causing a hardship. They will have a standard for comparing your income and expenses. You may qualify for a partial or full exemption from garnishment. Call the court and ask about the process and forms you will need to submit to get that ball rolling.
Hi, Michael. The judgment was filed in 11/08 so we have 5 years left. We would like to resolve this so that we can either refinance or sell our home. My husband says that he was never served papers and did not know about the judgment until we pulled up his credit report. I did not know him at that time (we are newly married). I guess we should go to the courthouse and look at how it was served. The amount on the credit report which was pulled in 11/12 was $1,886. I know it would be more than that for the 4 months since the report was pulled, but will there also be other court-related charges added on as well?
I think we are going to call CRN for help as this judgment is one of many issues on the credit report. My husband was out of work for 3 years, and all of these things happened during that time before I knew him. He has had a full-time job since 2008 and is better able to deal with this now. We have not contacted a lawyer. We are prepared to settle on everything, but we really need some guidance on how to go about it. I have seen several numbers on your website, and I was wondering if we should call a certain one. The credit report has 2 judgments, several charge offs, and a couple of collections on it, all from 2006 to 2008. Please advise on which number we should call to talk to someone. Thanks so much for your help.
Jan – 800-939-8357 ext 3 will get you direct to a CRN specialist. I am not in the rotation for consults, so if you want to do the consult with me personally, call the number in my email signature line that I am sending you. That is my direct line.
Hi, Michael. Thank you so much for talking to my husband and me tonight. You were very helpful and encouraging, and I am so grateful for the wonderful service that you are providing to people who are trying to recover from financial difficulties. I look forward to learning what you discover about the accounts that Arrow has scattered to the four winds! Thank you again for all of your help. Sincerely, Jan
My husband has a judgment from Arrow Financial. We are in North Carolina. The clerk of court’s office told me that if the plaintiff is no longer in business, we can pay the court and “the money will stay in escrow until ‘they’ come pick it up.” When I asked if ‘they’ referred to the company that no longer exists, she replied, “Yes.” That can’t be right, can it? Does the state get to keep that money? Should we go back to the original creditor in this case? We have no idea how to proceed to settle this debt. Thanks.
Jan – Arrow Financial Services bought the debt from the original creditor, or some other debt buyer who bought the debt from your original lender. You cannot go back to the lender and pay this.
Most judgment debt in North Carolina is good for 10 years. The judgment will expire, or can be renewed for another 10 years. When was the judgment entered in the court record? If the 10 years is approaching, and any judgment creditor is MIA, it is unlikely it will be renewed.
Are you working on a specific credit goal, like a home purchase or refinance that this judgment is holding you back from? If you are, providing the court with payment in order to show a satisfaction of judgment may be how you make progress if you cannot locate the judgment creditor. This would of course mean paying the full amount, not settling the Arrow Financial judgment.
I honestly do not know if the court keeps the money if a judgment creditor does not step up before the judgment expires. I should think you can petition the court for a return of that money if that were to occur. Have you connected with an experienced collection defense attorney in North Carolina about your issue?
This comment post was originally submitted as a reader question about a 1099-c Arrow Financial services sent to the IRS in 2011. I am posting it and my reply to this page in an effort to better consolidate site content.
“Received (2/2013) a CP2000 from the IRS for 2011 for understating income from a 1099-C from you guessed it Arrow Financial Service. 1. I never received a 1099-C 2. Arrow closed shop, not sure when? 3. If this is from Credit card debt, they never contacted me in writing of such debt. 4. Debt would have been from 1993, 20 years ago, isn’t their a statute of limitations on collection a debt? I reside in New Mexico for the past 20 years. Can you please assist me with this issue? I need to respond to the CP2000 and sure what i can do to fight the 1099-C that i never received. thank you!
How do i respond to a 1099-C i never received from arrow financial services? What are my rights to debt on a CC over 20 years old?”
Sydney – Scroll up to the comments above from January 22nd. One reader who is experiencing something similar on a 10 year old debt was able to dispute this with the IRS directly.
The IRS is just following standard procedures when they get a 1099-c. Arrow closed up for good last year. In there effort to do so, they probably cleaned up their books issuing 1099’s on the debts they could not sell off to another debt buyer.
If you work with a tax professional, you will want to ask if they have any experience with something like what has occurred with you and the Arrow Financial collection account. I would also suggest contacting the IRS directly like “this makes no sense” outlined having done in the comments from Jan 22.
Also you and your readers may be interested in AVVO.com. It’s a website where you can post general legal questions and they can give you advice.
Thank you. Student loan account holders are encouraged to play hide and seek and let the account go into default then the account explodes exponentially because they can add excessive fees without any legal reprecussions for their actions, especially private, non-government guaranteed loans. Arrow Financial Services going out of business may be more than a minor nuisance for me and my account.
Rod – I understand all too well the perverse incentive that is built in to student loan collections. It would be wrong to say it is only applied to the private student loan market. The 25% penalty applies to government backed loans that go into default too. A collector stands to do much better on performance metrics by letting accounts go into to default rather than rehab loans.
Exactly. I had been paying with M.O.s so I contacted Western Union to ask for a copy of the previously processed/cashed/honored M.O.s hoping that they had some tell tale information like who cashed them. Hopefully this can give me a lead to a company.
If you find out any more helpful information, let me know. Thanks.
Well things just became more interesting to say the least. I used Western Union for my money order payment. My December 2012 payment has not been cashed/honored. My November 2012 payment was cashed on Dec. 24. 2012. In order to receive a copy of the cashed November 2012 money order I have to request it in writing, which I am, hoping that there is identifiying bank, company or other information on it that will allow me to trace who is cashing them and hopefully they are the holders of my Arrow account.
Rod – If it will not inconvenience you, I would encourage you include 12 months of transaction history, just in case there are changes to the payment processing that could provide more to the Arrow Financial puzzle.
It’s been two days and no response from LVNV/Resurgent as to whether they bought my Arrow Financial Services student loan account or not. So they may not own the loan, do own the loan but since it is current they are dragging their feet until it becomes past due to notify me and play hardball/nasty, do not respond to e-mail inquiries at all because it leaves a communication trail or it takes forever for LVNV/Resurgent to respond to an e-mail inquiry.
Given how bad Arrow’s record keeping appears to have been who knows. I called up my credit report but no recongizable inquires/activity or data related to my Arrow account yet. That’s not to say the account is floating out there, it is that I’ve not be notified in anyway as to whether it was bought by another party and, so far, have not been able to find out in my research who may now own it.
Rod – I really do not think LNVN/Resurgent have it. But you do bring up a good point. If your loan is not being paid and goes into default with fees added etc., the purchaser may not be motivated to reach out to you on purpose. I am going to do some digging next week and see what more I can learn that may help you and others dealing with what you have in front of you.
I received the copy of my Western Union processed money order from Nov 2012 and Resurgent Capital Services processed/cashed it.
I tried calling Resurgent but again the automated line kept asking for an account number, which I do not have, and the processed money order’s is not legible.
I have Resurgent’s mailing address from their web site and since they have cashed previous money orders sent to Arrow Finance, I am going to send the money orders I have for Jan and Feb to Resurgent, since I had already filled them in with Arrow Finance as the Payee, and see if they process them or return them.
Rod – Thanks for posting the update. You may want to consider connecting with them prior to sending in additional payments. If you want help, let me know in a comment reply and I will email you. No charge. I will just work to get you connected so you can proceed with payments and confidence.
I recently applied to refinance our home. A claim from “Arrow Finance” now shows up on my wife’s credit report as having a judgment against her. We have never heard of this company or received any summons, court order, judgment, etc.
We contacted our family attorney and he said we need to find out the date of the claim, contact information, etc. If they are no longer in business or LVNV did not take on this her debt. How can we get this fraudulent claim off of her report?
Rob – You do need to pull the information from the court docket. Once you have that please post an update with the following:
Original lender referenced in the suit and whether your wife ever had an account with that lender.
The date the judgment was entered in the court.
What address the process server listed as having perfected service and whether your wife has ever lived at that address.
Dealing with this is going to be a chore, but I can help with some feedback once you share the above information.
LVNV is not the source of the problem, and if they do own the debt now, they may/may not be part of the solution.
I called the 888 number for LVNV and after the pre-recorded messges they kept asking for an LVNV account number, which I don’t have, stating that they were a company that was in the business of collecting bad debts, which mine isn’t as of Feb. 2013. I went to their web site and tried to send an e-mail with my question. Kept getting a server error message, so my inquiry didn’t go through.
I finally found a customer service e-mail address for Resurgent/LVNV and e-mailed them inquiring as to whether they bought my Arrow account. Until I hear back I’ll keep digging around to see the other possibilites.
I am believeing you are correct about LVNV not acquiring my account because, per there 888 service they are a collection service for past due accounts, my account is not past due yet, and per their web site the only other loans they regularly service are mortgages.
But I’ll see what their response is to my inquiry and let you know what they say.
Rod – Thanks for posting the update. I will say this – Arrow Financial Services manner of closing up their books, and taking their ball and going home, is sloppy work.
I came across this string of Q&A related to Arrow Financial Services. Most of the Q&A is related to consumer loans that Arrow Financial bought/serviced. My situation deals with student loans and until January 2013 I did not know that Arrow Financial Services was out of business.
My situation is:
I originally had a small student loan through HEMAR. Then in 2004-2005 I was notified via phone that Arrow Fiancial, a division of Sallie Mae at the time, bought my HEMAR loan. Through my agreed upon payment plan I’ve been paying my student loan through Arrow since the acquisition of my account. I’ve been mailing my payments to Arrow’s P.O. Box and my account is current as of December 2012. In Janury 2013 my payment was returned due to no forwarding address available. I’ve talked with a few attorney’s and accountants who said continue to set aside money for payment of the account and whoever acquired your Arrow account will contact you. Given the uniqueness of student loans and that my account was current until my returned payment of January 2013, how can I find out who, if anyone has my account, so I can contiue to make payments and keep it current. One accountant recommnded contacting Salle Mae, since Arrow’s web site stated Arrow was owned by Sallie Mae. I did this but the Sallie Mae person had no helpful information. Do the companies mentioned in this string deal with student loans, as well as consumer credit, and per chance bought my account from Arrow? Any suggestions would be appreciated.
Rod – There is a market for virtually any type of debt, so it would be worth a phone call to LVNV to see if they picked up your HEMAR account. I am a bit skeptical though, based on the fact your payments were being process up through December 2012. The phone number to LVNV is in the original article above. Post an update in a comment reply with what you learn.
Sallie Mae was a major stake holder in Arrow Financial, but not the owner. If LVNV does not have the account, take a look at your credit reports and see if there have been any inquiries that you do not recognize and post the names of who made those inquiries. That may help to identify the purchaser of your HEMAR debt either now, or in the months ahead – if you are not contacted directly. Debt buyers often run programs that help them determine how collectable each debt is. Part of that program is to review individual debtor credit reports.
After I filed my taxes this year, aprox 5 days later i get a letter in the mail from IRS stating I owe $2083 from the year of 2011. The company arrow financial never sent me a 1099-c so I never knew they were writing off any debts or that I even had outstanding debts and still what debt at that. I would like some advise, how do I get a copy of the 1099-c, or information on what this debt is about. On top of everything else I am a single mother of one also raising my neice with no child support or welfare for either. Any info would be greatly appreciated Alicia from new Mexico
Alicia – Scroll up to the comment from “This makes no sense” on January 22 2013. I would suggest following the steps taken and call and speak to the IRS about the situation. You may have never even had a legitimate debt with Arrow Financial Services. Please update your comment with what you learn from the IRS.
I received a letter from the IRS saying Arrow Financial sent a 1099-C in October of 2011, which I never received a copy from Arrow. Now I owe over a $1000. I’ve looked at old credit reports and don’t see anything from Arrow on it. Do I have any options?
Rebecca – Do you recall having an Arrow Portfolio collection account? Something where you were unable to pay a bill in the past, and Arrow ended up with it, and sent you collection letters, or made collection calls? I am asking in case you are posting from a place of “I have no idea what this could be from”, or if you are posting from a position of “I had some unresolved debts in the past, but have never heard from Arrow, now I get this”.
Your answer will change the feedback I would offer.
I’m coming from the position of “I had some unresolved debts in the past, but have never heard from Arrow, now I get this”. I know I never received a 1099 from Arrow and I don’t know if I could dispute it with the IRS.
If you can identify which debt you had that Arrow bought, you may want to just chalk this up to a debt that went unpaid, was completely forgiven, and pay the tax. You may not owe the tax if you can show you were technically insolvent at the time Arrow Financial Services wrote it off and forgave it, which appears to be October 2011. Read this debt relief program report about forgiven debt and taxes: https://consumerrecoverynetwork.com/debt-forgiveness-taxes-settled-credit-card
If you were to dispute this with the IRS, it may be that they are unable to confirm information with Arrow Financial, such as was suggested by one commenter above. But that readers situation was more than a decade old. Do you know which of your debts the Arrow Financial 1099c is related to?
The only one I can think of would be an old Capital One that was charged off more than 5 or 6 years ago.
Read the linked report and see what the insolvency exercise shows you for the period around 10/2011. If you were insolvent at the time, your concern about the 1k the IRS wants can be handled with a form 982. If you are going to end up owing the tax based on being solvent, then think about what your options for disputing this.