Have you ever been contacted by CBE Group? If so, you must be wondering why they are contacting you and collecting a debt. When you get a call from CBE Group, you should not give them any information. You should also not make any payment before you validate the debt they claim. On this occasion, we will share information about CBE Group, including whether CBE Group is a legit debt collector or not.
What is CBE Group?
CBE Group is a debt collection agency that has been around since 1933 and is headquartered in Cedar Falls, Iowa. CBE Group collects debts that they purchase from genuine creditors, particularly healthcare providers, consumer services and government agencies. According to our information, CBE Group has served hundreds of original creditors, ranging from cell phone providers to the federal government. In addition, CBE Group also has a lucrative contract for collection of US Department of Education student loans. Currently, CBE Group employs more than 1,300 people. The company does both first-party and third-party debt collection.
Here is CBE Group’s contact information:
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- Phone number: (319) 234-6686
- Website: https://www.cbecompanies.com
- Mailing address: PO Box 900 Waterloo, Iowa 50704-0900
- Physical address: 1309 Technology Pkwy., Cedar Falls, Iowa 50613-6976
Is CBE Group a Legit Debt Collector?
Yes, CBE Group is a legit debt collector. It is one of the largest and most profitable debt collection agencies in the country, with over $93 million in annual revenue. Apparently, there are lots of companies that have already worked with CBE Group. As we said before, CBE Group typically works with companies like healthcare providers, consumer services and government agencies. According to the Better Business Bureau (BBB), CBE Group was incorporated in 1985. It has been accredited by the Better Business Bureau (BBB) since 1992. Currently, CBE Group has a 1-star rating (out of 5) on the Better Business Bureau (BBB) page.
Although CBE Group is a legit debt collector, until early 2024, the Better Business Bureau (BBB) reported more than 435 complaints filed against the agency of CBE Group. Some of the complaints claimed that CBE Group had attempted to collect debts that did not belong to consumers. Need to know that attempting to collect a debt for which one is not responsible is a common violation of the Fair Debt Collection Practices Act (FDCPA). For your information, the Fair Debt Collection Practices Act (FDCPA) is a federal law that protects you (as a consumer) from harassment and unlawful behavior from collection agencies or the third-party debt collectors. You will be able to report them to the Consumer Financial Protection Bureau (CFPB) if you believe that a debt collector has committed a violation. You can also sue them for monetary compensation.
How to Know Whether I am Being Scammed or Not?
As we know, CBE Group is a legitimate collection agency. However, despite this, scammers will usually go to any lengths to get money. Scammers may use CBE Group’s name to scam you. If someone calls you on behalf of CBE Group, do not trust them immediately. Remember that scammers will usually ask you for sensitive information, such as your bank account information or social security number. If they are a legitimate debt collection agency, they should not ask you for such sensitive information because a legitimate debt collection agency would already have the information. The point is, you must be careful and vigilant if the person does not provide accurate details about the debt that you are being accused of.
So, how to know whether you are being scammed? The best way to protect yourself from fraud is to validate your debt and ask for more information. If you find something odd and feel that the person contacting you is a scammer, then you can report it to the Federal Trade Commission (FTC). For your information, the FTC is a government agency that specializes in protecting consumer rights. So, do not hesitate to contact the Federal Trade Commission (FTC).
Here are several things you need to know to make sure that CBE Group is not a scam:
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- CBE Group will have all your information.
- CBE Group will always be ready to answer your questions related to the debt.
- CBE Group will be willing to provide you with the employee identity numbers or company information about CBE Group.
What Should I Do When CBE Group Contacts Me?
When CBE Group contacts you and collects a debt, you need to validate the debt immediately. Sometimes, debt collectors need to correct details of the debt such as the name of the creditor or the amount of the debt. Often, debt collectors purchase debts in bulk from various original creditors such as from healthcare providers, consumer services and government agencies. So, there is a high chance for them to mis-transfer or receive wrong information.
To find out if the debt said by the debt collector is legitimate, you must validate the debt to verify that:
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- The debt really belongs to you
- The debt collector really owns the debt
- The debt amount is correct and accurate
If the debt collector can prove that the debt is really yours and they own the debt, then you should immediately decide what you will do next. But if the debt collector gets the wrong information and the debt that they are accusing you of is not yours, then they must stop contacting you again. So, validating the debt is very important to prevent a mistake or scam.
1. Send a Debt Verification Letter
The Consumer Financial Protection Bureau (CFPB) usually requires the debt collectors to provide a debt validation letter to you within five days after they contact you. For your information, a debt validation letter is a crucial document from a debt collector that has the details about a debt they are trying to collect from you. Essentially, this debt validation letter gives you information about the name of the creditor, the current amount of debt, and your right to dispute it within 30 days. If you have not received a debt validation letter from CBE Group, you can request it. Or, you can also send them a debt verification letter. You can check your credit report while waiting for the process of debt verification. Please check your credit report carefully. If you find any errors, just report them immediately. If the CBE Group can verify your debt within the 30-day time frame, then you need to follow up on their claim immediately or you will get an issue.
2. Decide What to Do Next
After the debt collector verifies the debt successfully, then you need to decide what you should do next. In this case, you have options; Dispute the debt or negotiate the debt and make a Settlement Offer.
Option 1: Dispute the Debt
If you disagree with the debt details mentioned by CBE Group, such as the amount of the debt or other details outlined in the letter, then you can dispute the debt. You will be able to dispute the debt in writing within 30 days after you receive the validation letter. During this process, CBE Group does not have the ability to try collecting the debt from you until they can give you verification. You can check your credit report with the three major credit bureaus including Experian, Equifax, and TransUnion. You need to do that as when a collection agency has incorrect details about a debt, there will also be an error on the credit report. You can also get your free credit report from the official website of Annual Credit Report. Aside from that, under the Fair Credit Reporting Act (FCRA), you can also request the credit bureaus to delete negative entries from your credit report through a 609 Credit Dispute Letter.
Option 2: Negotiate the Debt and Make a Settlement Offer
Now, you may be facing financial difficulties so that you cannot pay your debts in full. If so, you do not worry as you will be able to negotiate your debt and then make a Settlement Offer. Typically, lots of creditors settle debts at 40%-60% of the real debt amount. Need to know that CBE Group purchases the debt with a low price. Of course, the CBE Group will be able to get a profit once you pay the debt. When you are facing this case, you can try negotiating your debt with CBE Group. You may negotiate your debt with a lower offer, for instance, 25%-30% of your total debt. We are sure that CBE Group still gets a profit from the debt you paid.
Can I Negotiate Every Past-Due Debt?
This will depend on the type of debt. You need to know that not all overdue debts are negotiable. Now, you can check what type of debt you have first. For your information, negotiation will be able to apply to credit card debt, medical bills, and personal loans. So, if you have credit card debt, medical bills, or personal loan, you can negotiate the debt. Also, you can negotiate tax debts. However, remember that the Internal Revenue Service (IRS) has its own rules and system related to the tax debts. As we said before, not all overdue debts are negotiable. We will inform you that negotiation does not apply to mortgage debt, car loans, and federal student loans. So, if you have one of those debts, you will not be able to negotiate the debt.
What Happens if I Ignore CBE Group?
We very understand that dealing with debt collectors makes your mind stressful. But when you are in debt, running away from the debt is not a good solution. You do not run away from responsibility. Otherwise, you will be able to get consequences. Choose to dispute your debt or negotiate your debt and make a Settlement Offer.
If you ignore the debt collected by CBE Group, the following are some consequences:
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- You will have a bad credit score. That way, you will find it difficult to get loans or credit cards in the future.
- You will have more debt. This occurs because the interest charges and other costs continue to grow.
- You will be sued by CBE Group. And, if you do not respond to the lawsuit, the court will release a wage garnishment order.
In addition to the consequences that we mentioned above, you will also suffer mentally. Debt collectors will continue to make various efforts to get you to pay your debts. The point is, debt collectors won’t give up until you pay off all your debts. While the negative information on your credit report will disappear after seven years, the debt does not just disappear. Collection agencies can continue to collect debts from you as long as the statute of limitations is still in effect. Therefore, pay off your debts immediately. Or, if you really cannot afford it, in the sense of being broke, you can try bankruptcy. Check first whether you are eligible to file for bankruptcy or not.
Can CBE Group Sue Me?
Yes, CBE Group can sue you. CBE Group will not hesitate to sue you once they have performed various collection efforts but you still do not pay your debt. Need to know that there are some factors that determine whether CBE Group will sue you or not.
Here are those factors:
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- The laws of State
- Restrictions of the wage garnishment
- How much the debt you own
- The filing fees, court costs, and lawyer fees in your location
- The amount of the debt you owe and whether the potential payout will be worth the lawsuit’s cost
If CBE Group sues you, you will receive an official summons from the court and you do not ignore it. The letter gives you information about the lawsuit filed by CBE Group. Usually, the court will send the official summons directly to your home. Yeah, this does sound scary like a nightmare. But you need to solve it. Again, remember that you do not ignore it. You must attend the court and settle your case.
