When Encore Capital Group contacts you about a debt, you might feel a confusing mix of obligation and suspicion. They sound official, they claim you owe money, and they’re persistent. But something feels off – maybe the amount doesn’t match what you remember, or maybe you’ve never heard of this company.
You might be wondering why a company you’ve never done business with is calling about an old credit card.
That confusion makes sense. Encore Capital Group didn’t lend you money. They bought your debt – likely for pennies on the dollar – from the bank or lender you originally owed.
And despite marketing themselves as a “consumer-centric” company with their own Consumer Bill of Rights, the CFPB has taken enforcement action against them twice, resulting in over $67 million in penalties and consumer refunds. That gap between how they present themselves and how federal regulators have described their practices is exactly what you need to understand before you pay a cent.
Who Is Encore Capital Group
Encore Capital Group (ECG) is the largest publicly traded debt buyer in the United States, headquartered in San Diego, California. Unlike traditional collection agencies that collect on behalf of creditors for a fee, Encore purchases entire portfolios of defaulted consumer debt from major banks, credit unions, and utility providers – then collects for itself.
The company operates through several subsidiaries, the most important being:
- Midland Credit Management (MCM) – the arm that contacts consumers and manages collections
- Midland Funding LLC – the entity that legally owns the purchased debts
- Asset Acceptance Capital Corp., a debt buyer Encore acquired in 2013
- Propel Financial Services – handles property tax debt
If “Midland Credit Management” or “Midland Funding” shows up on your credit report or caller ID, that’s Encore. They’re the same company operating under different names.
Encore Capital Group contact information:
- Headquarters: 350 Camino De La Reina, Suite 100, San Diego, CA 92108
- MCM Consumer Line: (800) 296-2657
- MCM Alternative Line: (877) 653-4161
- Consumer Resolution Center: (877) 420-0039
- General Company Line: (877) 445-4581
- Email: [email protected]
- Website: midlandcredit.com
Encore collects primarily on credit card debt, secured and unsecured loans, lease-to-own financing, telecommunications balances, and some medical accounts. These debts typically originate with institutions like Chase, Citibank, Capital One, and Synchrony Bank.
Encore Capital Group Debt Collection Phone Numbers
If you’re trying to figure out whether a call is really from Encore or one of its subsidiaries, here are the numbers they commonly use:
- (800) 296-2657 – MCM main customer service
- (877) 653-4161 – MCM alternative line
- (877) 240-2377 – MCM collections
- (877) 366-1642 – MCM collections
- (800) 825-8131 – Consumer Support Services
- (888) 328-8007 – Consumer Bill of Rights inquiries
- (877) 420-0039 – Consumer Resolution Center
If the number doesn’t match any of these and the caller claims to represent Encore or Midland, be cautious. Request written verification before providing any personal information. Scammers sometimes impersonate legitimate collectors.
Is Encore Capital Group Legitimate or a Scam
Encore Capital Group is not a scam. They are a legitimate, publicly traded company on the NASDAQ (ticker: ECPG), a component of the S&P SmallCap 600, and one of the largest debt buyers in the world with operations across six countries.
But legitimate and lawful aren’t the same thing. The CFPB has found that Encore allegedly purchased debts they knew might be inaccurate or unenforceable, then pursued consumers for the full amount. Being a real company doesn’t mean every debt they claim you owe is valid, accurate, or even legally collectible. That’s why verification matters more with debt buyers like Encore than with almost any other type of collector.
The “Consumer Bill of Rights” Paradox
Here’s what makes Encore unique in the debt buying industry – and what makes dealing with them so disorienting. In 2011, they became the first company in their sector to publish a formal Consumer Bill of Rights.
It commits to treating consumers with dignity, suspending collections during hardship, not collecting from active-duty military, not charging pre-judgment interest, and stopping negative credit reporting after two years instead of the industry-standard seven.
On paper, that sounds consumer-friendly. In practice, the CFPB told a very different story.
In September 2015, the CFPB brought its first enforcement action against Encore and its subsidiaries (Case No. 2015-CFPB-0022, S.D. California). The Bureau alleged that Encore had purchased debts it knew could be inaccurate, filed lawsuits against consumers without intending to prove the debts, and relied on robo-signed affidavits containing misleading statements.
The 2015 consent order required Encore to pay up to $42 million in consumer refunds and a $10 million civil penalty, and to stop collecting on over $125 million worth of debts.
Then it happened again. In September 2020, the CFPB sued Encore for allegedly violating that same 2015 consent order. The Bureau claimed Encore had continued suing consumers without required documentation, attempted to collect time-barred debts without proper disclosures, and failed to provide the loan documentation that consumers had requested. That case settled in October 2020 with a $15 million civil penalty and additional consumer redress.
If you’re receiving calls from MCM about a debt you don’t recognize, or if someone is pressuring you to pay a balance you thought was resolved years ago, these documented patterns are worth knowing about. The company that published a Bill of Rights is the same company that allegedly filed thousands of lawsuits backed by affidavits from employees who never reviewed the actual account records.
How to Verify a Debt From Encore Capital Group
You can protect yourself from paying a debt that may not be yours, may be inaccurate, or may be time-barred – but timing matters.
- Within 30 days of their first contact, send a written debt validation request. Given Encore’s documented history of collecting on debts the CFPB described as potentially inaccurate or unenforceable, this step is essential. Your validation letter should request proof that the debt is yours, the exact amount owed with a breakdown, the name of the original creditor, and documentation proving Encore or Midland Funding owns the debt. Send it via certified mail with return receipt. While they’re processing your validation request, they’re required to pause collection activity on your account.
- Pay close attention to the statute of limitations in your state. Encore has faced federal action specifically for allegedly collecting on time-barred debts without telling consumers those debts were too old to be legally enforced. If a debt has passed your state’s statute of limitations, you may have no legal obligation to pay – and making even a small payment could restart the clock in some states.
- If Encore or MCM has placed an entry on your credit report, you also have the right to dispute inaccurate information through Equifax, TransUnion, and Experian. Under the FCRA, they must investigate and correct or remove unverified entries.
How The Wood Law Firm Stops Encore Capital Group
If Encore or Midland Credit Management is calling you repeatedly, pressuring you on a debt you don’t recognize, or has placed an inaccurate entry on your credit report, you don’t have to handle this alone. The Wood Law Firm focuses specifically on cases against debt collectors who may be crossing legal boundaries.
With Encore, the leverage is built into their own history. A company that has faced two separate CFPB enforcement actions, settled with 42 state attorneys general, and paid tens of millions in penalties and refunds has documented vulnerabilities.
When we take on an Encore case, we examine whether they can actually prove they own your debt with proper documentation, whether the debt is time-barred, whether their collection calls may violate the TCPA, and whether their credit reporting is accurate under the FCRA.
Calls typically stop within 48 hours of representation. You pay nothing unless we win – if we prevail, Encore pays our attorney fees under the FDCPA.
About Attorney Jeff Wood
Attorney Jeff Wood has spent over 15 years fighting for consumers against debt collectors who may be using illegal tactics. Licensed in Arkansas and admitted to practice in federal courts across nine districts – including Arkansas, Colorado, New Mexico, Texas, S.D. Indiana, E.D. Michigan, E.D. Missouri, W.D. Tennessee, and W.D. Wisconsin – Mr. Wood focuses exclusively on FDCPA, FCRA, and TCPA violations.
The Wood Law Firm maintains relationships with attorneys in 15+ states, including California, Florida, Texas, Ohio, and Pennsylvania, allowing us to help consumers nationwide facing Encore Capital Group collection efforts.
Contact The Wood Law Firm at +1 844-638-1122.
Frequently Asked Questions
1. Who does Encore Capital Group collect for?
Encore doesn’t collect for other companies. They buy defaulted debt from banks, credit unions, and lenders like Chase, Citibank, and Capital One, then collect for themselves through subsidiaries like Midland Credit Management and Midland Funding.
2. Is Encore Capital Group the same as Midland Credit Management?
Yes. Midland Credit Management (MCM) is Encore’s primary collection subsidiary. Midland Funding LLC is the entity that legally owns the debt. If either name appears on your credit report or caller ID, you’re dealing with Encore.
3. What was the 2015 CFPB action against Encore about?
The CFPB alleged that Encore purchased debts it knew could be inaccurate, filed lawsuits using robo-signed affidavits, and collected on unsubstantiated accounts. The settlement required up to $42 million in refunds, a $10 million penalty, and halting collection on $125 million in debts.
4. Can Encore Capital Group sue me for old debt?
Encore has a documented history of filing lawsuits on consumer debts, including allegations of suing on time-barred accounts. If your debt has passed your state’s statute of limitations, they may not have a legal basis to sue – but you should confirm with an attorney.
5. What is Encore’s Consumer Bill of Rights?
It’s a set of commitments Encore published in 2011 pledging to treat consumers with dignity, suspend collections for hardship, and stop negative credit reporting after two years. However, the CFPB has twice taken enforcement action against the company despite these commitments.
6. How do I remove Encore or Midland from my credit report?
Start by requesting debt validation. If they can’t verify the debt, dispute it with all three credit bureaus. Under the FCRA, inaccurate or unverified entries must be corrected or removed.
7. What should I do if Encore sues me?
Do not ignore it. Failing to respond can result in a default judgment, which may allow wage garnishment or bank levies. Contact an attorney immediately to review your options.
8. Does Encore charge interest on my debt?
According to their Consumer Bill of Rights, Encore does not charge pre-judgment interest on domestic debts. However, always verify the balance breakdown in writing to make sure the amount matches what you actually owe.
