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Movie store collects late fees from beyond the grave


Hollywood Video declared bankruptcy and folded last year, but reports are surfacing that debt collectors have been dispatched as video store bounty hunters, still collecting customers' old late fees.

via Consumerist:

Turns out, they believe that my share of these fees is $142.71. What I find amusing is that when Hollywood Video still existed in my area, I was a member of their Powerplay program. One of the highlights of the program was no late fees. Many others are claiming that their charges are bogus as well. I am currently putting together a debt verification letter to send to them as soon as possible.

I have yet to check my credit report, but some of the others only found out about the charges after they found them on their reports. Many victims never received phone calls, letters, or any other contact, yet (the company) still illegally reported these items to credit bureaus. There are also reports of their representatives misleading and even outright lying to anyone calling to ask about the charges. One specific example is someone being told that they personally would have to show proof that they returned every video on time. They are using classic scare tactics to get as much money as they can out of unknowing consumers.

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