Howard Lee Schiff Debt Collection Firm Transferred My Debt
Went to court (Mass.) to defend (citi) debt collection suit by Howard Lee Schiff. We were able to agree to settle 5,000 over 14 monthly payments. Settlement was stated in open court but was not entered as a Judgement. Paperwork was filed dismissing suit and payments were sent timely with tracking info every time. Payment #13 (June 2015 )was not cashed timely and Schiff sent a letter (June 1st) saying my account was closed with them and future payments should be sent to Law office of Lustig, Glaser and Wilson.
I received a letter (June 8th) from Lustig, Glaser and Wilson stating they were now handling collections for Citi and the balance owed 4,995. They wanted me to contact them to discuss. They acknowledge prior handling by Schiff yet provide no details other than creditor name and balance owed. Payment #13 was cashed June 9th and electronic scan of the endorsement showed that Lustig cashed it.
I know I have all paperwork regarding settlement agreement and proof of compliance to payment agreement. I was hoping to make the last payment in a couple of weeks and get a letter saying paid and closed from Schiff. Now I'm sensing something "Unfair and Deceptive" starting to unfold.
Do I have start the whole cease and decist and debt validation process over and should I talk to the other sleazy law firm and send them the final payment even though I have no written arrangement with them?
—JC
Howard Lee Schiff collects debt in the normal course of business. They do sue in order to collect from people. How common is it for the firm to transfer a paying account to another law firm? It is not common for debt collectors to transfer a paying collection file, and less so if you are a debt collection law firm like Schiff. Having said that, it is not unheard of.
I am glad you were able to come to an agreement to settle with the attorney collecting for the Schiff firm, and it sounds like you will not have to try to negotiate anything different than what was already outlined in court.
Now that your collection account is with Lustig, Glaser and Wilson.
The Howard Schiff firm may have transferred your account to Lustig Glaser and Wilson for a few reasons. It could have occurred because of Schiff proactively moving files in certain geographic areas, or some other form of work load and file management. Citibank may have wanted to move collection accounts (debt buyers do this too). There are other reasons for your debt being transferred.
What to do now, and should you request the debt be validated by Lustig, Glaser & Wilson?
You have the letter inviting you to call Lustig Glaser and talk about the transfer. You could start with that. If you are not confident that you are paying the correct debt collector, you can send a validation request in writing, or request that from them on the phone too (I prefer debt validation request be in writing).
You can call the Howard Lee Schiff firm and speak to them about the transfer. Even though they wrote to you and stated as much, some of us just feel better talking to someone about stuff like this.
You can call the account owner, which may or may not be Citibank at this point (even judgment debts get sold), and confirm that Howard Schiff legitimately transferred your collection account to Lustig Glaser.
Unfair and Deceptive Collection account transfer.
Nothing you have shared with me suggests anything unfair or deceptive from either collection firm. Both of the firms wrote to you to let you know what is going on. It would have been nice to get the transfer letter directly from the owner of the account, whether Citibank or a debt buyer, but there is often no requirement for that in this type of thing, at least not yet (I hope there will be this time next year).
I would call Lustig Glaser and Wilson and ask what their policy is for sending a confirmation letter that the debt is paid after they process your final payment. That letter is not always going to be sent out. If it is not their policy to send them, there is nothing deceptive about that. You can request one from them. Let me know what they say in the comments below.
It appears as though you want to pay off the debt earlier than scheduled. I would bring that up with them on the phone as well. I would want to make sure there is a note in my file at the firm. Of course, this is after you confirm that every thing is legit, and that Howard Lee Schiff indeed transferred the collection account to their collection firm, and that the amounts Lustig says is owed is consistent with your settlement agreement with Schiff, etc.
Anyone with question about Howard Lee Schiff collecting a debt, or Lustig Glaser and Wilson for that matter, or even how collection accounts you are paying on can be transferred or sold, is welcome to post in the comment below for feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
I forgot to leave the creditors name: Advantage Assets II, INC. The Original Creditor was CITIBANK (South Dakota) So I am at a loss now. Do I try and get a hold of Advantage Assets II, INC or do I contact the Massachusetts Attorney General’s Office??
If your goal is to get your payments back on track I would call Advantage Assets.
I typically suggest settling an account like this for as little as possible, and this is a good opportunity to do that.
I have been paying $50.00 a month through Howard Schiff for 3 years now. I had wondered why I have not seen a debit on mu checking account for at least 2 months. My last payment was in May of 2023. I tried to get a hold of them on google but the offices are shutdown. I never received an email or regular mail a notice that they had closed. So, I checked Lustig Glaser and Wilson and their offices are also closed. There was an action taken by the Massachusetts Attorney General that they had to pay over a million dollars to settle some claims. Last time I had talked to some one in the office was April 26/2022 and my balance to pay was $1,600.00. Since then, I have paid $650.00 towards the balance, of which leaves me the balance to pay is $950.00. So, whom do I pay the balance to. Any help in this matter would be greatly appreciated.
Hi
I was paying Howard Lee Schiff monthly, and without warning I see now that they’ve closed down. I had no communications from them prior to it, so I have no idea what they did with my account. My credit report shows 0 accounts in collections, so am I off the hook for the rest of the balance, or who do I call to settle this? I just made a payment last month, but my credit report doesn’t show a change within the last 30 days so I’m skeptical.
Thanks!
Who was Howard Lee Schiff collecting for?
Hi I received a letter from this law firm ( HL Schiff) stating that they are a debt collector working on behalf of a hospital attempting to collect a debt of $17,000 . I definitely don’t have that(financial hardship) and can’t do a payment of more than $100 a month . Should I contact them ? And if so should I do so over the phone and/ or write them disputing the debt? . A portion of the debt I feel like I had insurance during the time and insurance should have covered the hospital bill , if not a great portion of it. Is there a way to find out? And If I in-fact owe the whole $17,000 what are my best options? Would they be able to set up an affordable payment option? What should be my best and next steps? Thank you .
It can be super tough to get medical bills covered when there has been more than a year gone by.
There are some great consumer law attorneys I connected with recently, who may be able to help you though.
I will be building a form fill you can complete and get sent to them in the coming days, so stay tuned, I will post about it.
If you have more debt than this (and even just this) it can be worth looking in to filing chapter 7 bankruptcy in order to get a fresh start.
Hi, I received a letter from this law firm stating they were now working on behalf of portfolio recover and attempting to collect $713 from me for a credit card. I don’t have the money now. What should be my first step in dealing with them? Should I just pay them or should I send a letter asking them to verify the debt first? I don’t want to get sued either.
PRA sues a lot, so that is what is likely about to happen if you do not negotiate a settlement or set up payments.
You can request debt validation for sure. It can sometimes delay the lawsuit by a month or 2 these days.
How do I get an email address for their Providence, RI office. I was served papers by them to appear in court. but no were do I find a phone number, fax number, or email address…..all i have is a mailing address which as you all well know; is very slow….
Can someone please provide me any email address that will reach their 10 Dorrance st, suite 515 Providence. RI Location ?
I do not have an email address, but the phone number for Howard Lee Schiff in Rhode Island is (401) 861-9991.
What is it you are looking to email them?
My wife had a outstanding credit card amount, she could not make the payments so it went to collections, then court. Schiff was the collection attorney, my wife set up a payment plan and make the monthly payments, always on time. Then,the last payment came back with a return to sender. The mailing address changed, so the was no fowarding address, no way to make the payments..Who, and Where do the go? Well we are selling our house, (this is in Mass.) and we find out there is a lien on our house for like double the starting amount was! Wouldn’t they at least of sent a registered letter informing of this lien? If they didn’t change there address..I wouldn’t be here!! Help.
What is the name of the Plaintiff that got the judgment (who hired Schiff)?
When did the judgment get entered in the court record?
Were you making payments on the full balance owed? When did your payments stop?
I can offer better feedback if I know the answers to those questions.
Good morning, the Plaintiff was Midland Funding (Chase BanK USA) The judgement was 9/27/2011 my wife was making the payments until her payment was returned with no forwarding address. I am not sure when the payments stopped ..I have to find her register. Thank you.
Let me know when the payments stopped, and how much of the balance owed was paid until those payments ceased.
You can call Midland Funding direct and outline all that transpired. But I may have more feedback to offer before you do that if I know the answers to those questions.
Hi there,
I have about 30k in debt between 2 private student loans with Navient. I can’t make the minimum payments and I’m a full time student in France. I just got a letter saying I will receive a lawsuit with Howard Schiff PC if I don’t make a payment arrangement this month. From everything I read online with people dealing with Navient and student loan default, it seems people are getting settlements on their loans at a fraction of the initial debt. I don’t know if I should ask my parents to help me pay the minimum payment to Navient or let it default and then talk with the law firm to settle the debt? Also, since my dad is a cosigner, I don’t want him being affected in any way. What do you think?
Totally lost in student debt. Thanks for your work here- it’s helpful.
With you being in France, and your father being the cosigner, he is the one at the most risk.
I would encourage you to call in for a free consult about your student loans. My hotline is 800-939-8357, you will hear my voice then press 4 for student loans. Be sure to leave a message if no one is available to take the call live.
Hi Michael,
I have a judgement against me for a capital one card. The judgement was filed in 2011 by the law office of Howard lee Schiff. The amount is for roughly $1900. I made 1 payment to them after the judgement but fell on financial hardship and have not made any payments since. I have not heard from anyone regarding this in quite some years. Should I be worried that they may try to levy my bank account? Is it normal for them to not contact in so long? I am in MA and wasn’t sure what the limitations are on what they could try to do to collect. Is there any chance that they won’t come after me for the to collect on the judgement?
In Massachusetts, the Howard Lee Schiff judgment is good for twenty years. That means your wages, bank account, and property are at risk until 2031.
Most of us would probably want to get rid of the judgment through filing bankruptcy, or negotiating a lower lump sum pay of with the Schiff law firm.
This may seam odd to many readers, but it is common for judgment debts to lay dormant with no serious collection efforts being made for years. There are a myriad of reason why this can happen. But it is not in your best interest to let things lay. The balances are often growing based on the judgment interest set by the court. And you do not want to wake up one morning with less money in your bank account than when you went to bed, or have that envelope from human resources waiting for you (notice of wage garnishment) when you show up to work later that day.
It is far better to deal with Howard Schiff collection accounts with a purposeful strategy, and somewhat on your terms.
Bill from California here. Howard Lee Schiff just sent me a notice that I have 30 days to respond to him and that I can write a letter to him to request validation of my debts. I worked through a debt relief program and paid them $4,000. They sent out letters to creditors to get them to stop calling, etc. This worked for 2 years but now I have to deal with Howard and his attorneys. I guess I will let it play out. I’m hoping that I do not get a summons to court. Since I am disputing the debt that might be my best option at this point?
It was good to talk with you on the phone today Bill. Unless you are financially prepared to settle with the Howard Schiff firm, I would let your different dispute letters ride.
I am not a fan of companies like you describe. You can watch my reader question/video answer about debt validation companies. I describe why paying someone for canned dispute or validation letters is a waste of money, and can actually do more harm than good.
Keep me posted with the progress from here.
I am being sued by the Law offices of Howard Lee Schiff on behalf of Portfolio Recovery Associates for a debt they purchased from Citi Bank (my Dell card) for $4.399. I have not yet responded to the suit because I’m not exactly sure where to go from here. I do have an unpaid debt with my Dell account due to loosing my job a while back while I was 8 month pregnant and not being able to find another until about a year ago. The last payment I made on the account was in Sept of 2013. I do not want a judgement against me and just need to know what my options are from here and how to best move forward. I do not have the means to do a lump sum settlement, but could set up monthly payments of no m ore than 50-100 at this time. Is this something they would potentially go for without filing a judgment or should I just go to court with them. I’ve read horror stories about dealing with Howard Lee Schiff law offices and just don’t want to make a wrong move or say the wrong thing to them. I’ve played phone tag a bit with you so figured I’d try here and maybe you could email me back or comment here with some information.
You can enter into a payment arrangement with Howard Lee Schiff’s office once they sue you. You need to be prepared to sign a consent or stipulation to judgment if you get them to agree to it. That means you are giving up most defenses you may raise, and if you fail to pay on time they can then quickly move to secure payment against your wages, bank account, or any real property (and as allowed for in your state).
I am not a fan of payment plans in this situation, but also know that they have a place when there is no alternative.
Is there any chance you can raise roughly half the balance owed on this in order to settle with a lump sum? What if you had 4 to 6 months to put it all together?
Try not to read too much into other peoples experiences with a debt collector. Have your own experience and post about that here. Calling Howard Lee Schiff to resolve your debt is not something to fear.
I could may be able to come up with half within 6 months, but definitely not all )f it and i feel like realistically it would be more like 8 months just becuase winter is coming and heating a home in the northeast is expensive….The most I could really afford monthly with a very tight budget would 150-200ish. This gives me very minimal wiggle room/money for emergencies, but I cannot afford a judgemnt on my report either or the wage garnishment liens that come with judgments. I dont own a house (i rent) and am still making payments on my car.
What is a consent or stipulation to judgement? Would that still show as a judgmwnt on my credit report.or only if i didnt follow through with my payments?
You will want to defend against the suit to buy yourself the months you need to save up in order to make a single lump sum settlement with Howard Lee Schiff.
When consenting, or stipulating to a judgment, I have seen the judgment filed in the court record in a manner that finds its way to appearing on your credit reports, and also see the opposite (more frequently) where the judgment shows up only if you fail to follow through with the agreement. You do this in order to avoid wage garnishment, bank levies, and property liens. Credit reporting is important and has a utility function when we are in the market to finance something, but does not trump protecting yourself from extra ordinary collection efforts.
When you agree to a stip and later fail to live up to making a timely payment, you pretty much already gave up any defenses, and the judgment usually would be filed in the court allowing a judgment creditor like PRA to progress with collections through any means. Never agree to a monthly payment in a scenario like this that you are skeptical you can live up to.
Okay…should i call them to talk over payment arrangment stuff or should i write them about it ao i have a hard copy of all contact? Is there anything i should avoid telling them. My plan is to give them as little information as possible about anything. I rent so im not worried about loosing my home, but only uave about 5 payments left on my car and i need it in order to work. Do i legally have to tell them anything about my job or car etc…??
You are not legally bound to share that much detail, but if you want an affordable monthly payment plan, many collection firms will ask for it. They are either legitimately trying to establish a record of why they should be flexible with approving a lower monthly payment or settlement, or will discover, through something you share, that they should hold out for more money or a higher payment.
When you need the flexibility you are not in the best position to withhold details they ask for, and should not share information that is not consistent with a hardship or inability to raise more money.
If it were me, and given the stage of collection you are at, I would call and get all the details worked out over the phone, and follow up the agreement by getting everything outlined and sent to you in writing by the Schiff law firm.
I have a couple questions. I’m looking for advice on what to do. I recently received a small claims complaint in the mail stating that I’m being sued by The Law Offices of Howard Lee Schiff PC in regards to a credit card debt $4, 309.85 (being sued for $4399.85 with fee added for filing paperwork). The last payment they have on record for the debt was in Sept. 2013. which I believe is accurate. At that time I lost my job and was 8 months pregnant and was unable to find a job for sometime after. I am now working agian, but focusing on trying to get the most important debts payed and back on track first. My question is what should I do here. Would it be in my best interest to try to set up a payment arrangement with them and would they drop the lawsuit if I did this or should I go to court and hope they are late or do something that can make the case get dropped. I do plan to pay back the debt, but could honestly only afford about $50 a month towards it at this point. Any information you have would be greatly appreciated!
Who is it that Howard Lee Schiff is collecting for? If you could settle this for 50% of the amount would you be able to get creative and raise the money (sell an unused or nonessential item, borrow from family or friend, etc)?
The Howard Lee Schiff collectors are not going to voluntarily agree to take $50 a month. You would have to agree to the judgment by consent or stipulation, and even then they will not want to agree to it unless you are pretty much uncollectable. Debt collectors like Schiff rarely agree to payment plans that would take 7 years.
It is what it is when there is no alternative to setting up monthly payments. But in order to avoid a judgment you are going to want to defend this or settle for less.
If it will take you some time to raise the money to settle, and if you are fairly judgment proof in your state, it may make sense to circle back and settle this when you pull together enough to make a realistic offer. At $50.00 a month you will take 88 months to pay this off and that is not counting legal interest that the court will set.
Thanks for your reply. My biggest concern was that I was almost paid off and the balance due to Schiff was 1 final payment of around 350.00 When I got the letter from the Lustig law office, they wrote that the balance due on the account was 4995.00
I called Schiff, they confirmed the account is no longer handled there and gave me Lustig phone number. When I asked to be xferred to extension of atty whom I settled with, Schiff rep refused to xfer my call. Fortunately I had her cell # and she took my call. She said that settlement should still be honored by Lustig and she acknowledged the payments were recorded. I felt better and then called Lustig and spoke with person who had my info and only indicated they did in fact receive the payment from Schiff and they said balance was 4995.00 and they had no other info since it was new in their office.
I told that person I would be requiring DV and would send letter to that fact. I stated they would also receive cease and decist requiring only written communication. I only acknowledged having a settlement agreement with Schiff and they were responsible for obtaining those documents and I have no obligation to them until they provide me with the confirmation of original settlement agreement and balance amount.
I plan to send them the letters and include a copy of my settlement agreement. If they do not respond with the correct final payment amount as requested, I plan to send the final payment as scheduled along with a copy of the settlement agreement with tracking to Schiff so as not to miss the payment. I’ll let them forward to Lustig and I’ll have complied with all the terms of my written agreement and have proof of payment to challenge Lustig in case they try to collect on some other grounds.
That is not necessarily how I would go about it. If it were me, I would not send the final payment of the settlement agreement to Howard Lee Schiff, but to Lustig Glaser and Wilson. I would do this because it could be argued that you were aware the file had been transferred to another firm. You received that confirmation from the attorney at the Schiff firm.
I would then file a debt collection complaint against Lustig Glaser and Wilson with the CFPB for attempting to demand payment and a collection amount in excess of an agreed upon settlement with the prior debt collector. I might even file that complaint before the payment is due, while still making the payment.
If you do file the collection complaint, be sure to be thorough with dates, times, names of people you spoke to, and upload all pertinent documents.
The CFPB is currently considering a set of broader rules for the debt collection industry. Part of that may involve attorney debt collectors. Your situation could certainly point to how attorneys must be held to any new standards of collection, as adding over four thousand dollars to a collection file arbitrarily could easily meet later unfair and deceptive standards.
Good idea, I have enough supporting documentation regarding settlement agreement and payments. I will go that route. Thanks. I’ll let you know how it goes.