Debt Validation Letter - Maryland

DEBT VALIDATION AND CEASE-COMMUNICATION LETTER — MARYLAND

TABLE OF CONTENTS

1. Sender Block
2. Date and Recipient
3. Re: Line
4. Body of Letter
5. Signature Block
6. Mailing Instructions and Proof of Mailing
7. Companion Filing Checklist
8. Maryland Practice Notes
9. Sources and References

1. SENDER BLOCK

[CONSUMER FULL NAME]

[STREET ADDRESS]

[CITY, MD ZIP]

[PHONE]

[EMAIL] (optional)

2. DATE AND RECIPIENT

Date: [__/__/____]

VIA U.S. CERTIFIED MAIL — RETURN RECEIPT REQUESTED

Tracking No.: [________________________________]

[DEBT COLLECTOR / AGENCY LEGAL NAME]

Attention: Compliance Department / Resident Agent

[STREET ADDRESS]

[CITY, STATE ZIP]

3. RE: LINE

Re: Notice of Dispute and Request for Validation of Alleged Debt

Account / Reference Number: [________________________________]

Alleged Original Creditor: [________________________________]

Alleged Balance: $[________________________________]

Date of First Communication Received: [__/__/____]

4. BODY OF LETTER

To Whom It May Concern:

This letter is sent in response to your [letter / notice / call / electronic message] dated [__/__/____] regarding the alleged debt referenced above (the "Alleged Debt"). I do not admit that I owe the Alleged Debt, and I dispute it in its entirety. Nothing in this letter shall be construed as an admission, acknowledgment, or promise to pay.

(1) Notice of Dispute. Pursuant to Section 809(b) of the Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. § 1692g(b), and 12 C.F.R. § 1006.34 (Regulation F), I dispute the validity of the Alleged Debt and request that you provide validation. This dispute is timely, having been mailed within thirty (30) days after my receipt of your initial communication.

(2) Demand for Verification. I request that you provide ALL of the following:

• a. Verification of the Alleged Debt, including the original signed contract, loan agreement, account application, or other instrument establishing my obligation to the original creditor;
• b. A complete itemized accounting of the Alleged Debt, including the original principal amount, all charges, interest, fees, payments, credits, and the method by which any post-charge-off interest or fees have been calculated and the contractual or statutory basis for each;
• c. The full chain of title and assignment documentation if the Alleged Debt has been transferred, sold, or assigned, including the names and addresses of every prior holder and the date of each transfer (debt-buyer plaintiffs in Maryland must satisfy the chain-of-title requirements of Md. Rule 3-306 and Finch v. LVNV Funding LLC, 212 Md. App. 748 (2013));
• d. The name and current address of the original creditor;
• e. Evidence that you (or the entity you represent) are licensed to collect debts in Maryland under the Maryland Collection Agency Licensing Act, Md. Code Ann., Bus. Reg. § 7-301, including the licensee name, license number, and licensing authority (Office of the Commissioner of Financial Regulation);
• f. A copy of any judgment if you contend that the Alleged Debt has been reduced to judgment.

(3) Cease Collection Until Verification. Under 15 U.S.C. § 1692g(b), you must cease collection of the Alleged Debt until you obtain verification and mail it to me. Any continued collection — including credit-bureau reporting, telephone calls, written demands, electronic communications, or litigation — prior to providing verification will constitute a separate violation of the FDCPA, the MCDCA (Md. Code Ann., Com. Law § 14-202(8) and (11)), and the MCPA (Md. Code Ann., Com. Law § 13-301(14)(iii)).

(4) Time-Barred Debt. If the Alleged Debt is beyond the applicable Maryland statute of limitations, filing or threatening to file suit on it is unlawful under Md. Code Ann., Com. Law § 14-202(8) and 15 U.S.C. § 1692e(2)(A). The Maryland general limitations period for civil actions, including most consumer-contract debts, is three (3) years (Md. Code Ann., Cts. & Jud. Proc. § 5-101), with longer periods for specialty contracts and judgments. Any such conduct will be reported to the Maryland Office of the Attorney General, Consumer Protection Division, the Consumer Financial Protection Bureau, and the Office of the Commissioner of Financial Regulation, and prosecuted to the fullest extent of the law.

(5) Restrictions on Communication (MCDCA — Md. Code Ann., Com. Law § 14-202). In addition to your federal-law obligations, you are bound by the Maryland Consumer Debt Collection Act, which reaches both original creditors and third-party collectors. You are prohibited from, among other things:

• ☐ Using or threatening force or violence (§ 14-202(1));
• ☐ Threatening criminal prosecution where no crime has occurred (§ 14-202(2));
• ☐ Communicating with my employer about a delinquent indebtedness before final judgment, except as permitted by statute (§ 14-202(3));
• ☐ Disclosing or threatening to disclose information that affects my reputation for credit worthiness with knowledge that the information is false (§ 14-202(4));
• ☐ Disclosing or threatening to disclose information about the Alleged Debt to third parties (family, neighbors, employer) without a legitimate business need (§ 14-202(5));
• ☐ Communicating with me with such frequency, at unusual hours, or in any manner reasonably expected to abuse or harass (§ 14-202(6); 15 U.S.C. § 1692c(a)(1) — no calls before 8:00 a.m. or after 9:00 p.m.);
• ☐ Using obscene or grossly abusive language (§ 14-202(7); 15 U.S.C. § 1692d(2));
• ☐ Claiming, attempting, or threatening to enforce a right with knowledge that the right does not exist (§ 14-202(8)) — including operating without a Maryland collection-agency license, suing on time-barred debt, or collecting amounts not authorized by the contract or by law;
• ☐ Using a communication that simulates legal or judicial process or appears to be authorized by a government agency or attorney (§ 14-202(9));
• ☐ Engaging in any conduct that violates §§ 804 through 812 of the federal FDCPA (§ 14-202(11)).

(6) Cease-Communication Election (Optional). ☐ I additionally elect, pursuant to 15 U.S.C. § 1692c(c), that you cease all further communication with me concerning the Alleged Debt, except to advise (i) that further collection efforts are being terminated; (ii) that you may invoke specified remedies; or (iii) that you intend to invoke a specified remedy.

(7) Credit Reporting. If you have reported the Alleged Debt to any consumer reporting agency, you must report it as "disputed" pursuant to 15 U.S.C. § 1692e(8) and the Fair Credit Reporting Act, 15 U.S.C. § 1681s-2. Continuing to report the Alleged Debt without the "disputed" notation, or after a failure of validation, is itself a separate violation.

(8) Reservation of Rights. Nothing in this letter shall be construed as an admission of the Alleged Debt, an acknowledgment, a promise to pay, or a waiver of any defense, set-off, counterclaim, or any other right or remedy available under federal, Maryland, or other law. I expressly reserve all rights, including the right to bring civil action under:

• The FDCPA, 15 U.S.C. § 1692k (actual damages, $1,000 statutory damages, costs, and attorney's fees);
• The Maryland Consumer Debt Collection Act, Md. Code Ann., Com. Law § 14-203 (damages proximately caused, including emotional distress with or without physical injury);
• The Maryland Consumer Protection Act, Md. Code Ann., Com. Law § 13-408 (actual damages and reasonable attorney's fees, with a violation of the MCDCA being per se an MCPA violation under § 13-301(14)(iii));
• The Fair Credit Reporting Act, 15 U.S.C. § 1681n, § 1681o.

(9) Preservation Notice. You and your agents are directed to preserve all records relating to the Alleged Debt and to me, including but not limited to call recordings, call logs, dialer notes, account histories, electronic communications, vendor and licensee files, and credit-reporting submissions. Spoliation will be the subject of an adverse-inference instruction under Md. Rule 2-433 and Fed. R. Civ. P. 37(e).

Please respond in writing to the address at the top of this letter within thirty (30) days. Your failure to provide verification within a reasonable period will be construed as an admission that the Alleged Debt cannot be validated.

5. SIGNATURE BLOCK

Sincerely,

[________________________________]

[CONSUMER FULL NAME]

(Sent without prejudice; all rights reserved.)

Enclosure(s):

• ☐ Copy of collector's initial communication (Exhibit A)
• ☐ Other: [________________________________]

6. MAILING INSTRUCTIONS AND PROOF OF MAILING

• ☐ Print on plain paper. Sign in ink.
• ☐ Make TWO copies. File one in your records.
• ☐ Mail by U.S. Postal Service Certified Mail, Return Receipt Requested to the collector's principal place of business or resident agent (look up the resident agent at the Maryland State Department of Assessments and Taxation: https://egov.maryland.gov/BusinessExpress/EntitySearch).
• ☐ Save the green Return Receipt card and the Certified Mail receipt with the tracking number. They are your proof of timely dispute.
• ☐ Optional: send a courtesy copy by email and retain the sent-mail confirmation.
• ☐ If sending more than 30 days after the initial validation notice, the dispute is still valid but you may lose the automatic cease-collection benefit of § 1692g(b).

Mailing Log:

7. COMPANION FILING CHECKLIST

After sending this letter, also consider:

• ☐ File a complaint with the Maryland Office of the Attorney General, Consumer Protection Division, online at https://www.marylandattorneygeneral.gov/Pages/CPD/complaint.aspx or by calling (410) 528-8662 (Baltimore), (410) 230-1712 (en español), or 1-888-743-0023 (toll-free in Maryland). Mailing address: 200 St. Paul Place, 16th Floor, Baltimore, MD 21202.
• ☐ File a complaint with the Consumer Financial Protection Bureau at https://www.consumerfinance.gov/complaint/.
• ☐ Verify the collector's Maryland Collection Agency License with the Office of the Commissioner of Financial Regulation at https://www.labor.maryland.gov/finance/. Unlicensed collection violates § 14-202(8) per Finch v. LVNV Funding LLC.
• ☐ Send separate FCRA dispute letters to Equifax, Experian, and TransUnion if the Alleged Debt appears on your credit report.
• ☐ Place a free security freeze with each credit bureau (Md. Code Ann., Com. Law § 14-1212.1 prohibits fees for freezes, lifts, or removals).
• ☐ Calendar a follow-up date thirty (30) days from mailing.
• ☐ If the collector continues to contact you in violation of this letter, document each contact (date, time, name, content) and consult counsel — every separate violation may carry FDCPA statutory damages (up to $1,000 per consumer per action), MCDCA emotional-distress damages, and MCPA attorney's-fee shifting.

8. MARYLAND PRACTICE NOTES

• 30-day window. Under 15 U.S.C. § 1692g, the consumer has thirty (30) days after receipt of the validation notice to dispute. A timely written dispute triggers an automatic obligation to cease collection until verification is mailed.
• MCDCA reaches creditors AND collectors. Unlike the FDCPA, which generally applies only to third-party debt collectors, the MCDCA (§ 14-201(b)) reaches "any person collecting or attempting to collect an alleged debt arising out of a consumer transaction." Original creditors, mortgage servicers, debt buyers, and assignees are all covered. Andrews & Lawrence Prof'l Servs., LLC v. Mills, 467 Md. 126 (2020).
• Time-barred debt. Maryland's general civil-limitations period is three (3) years (Md. Code Ann., Cts. & Jud. Proc. § 5-101). Specialty contracts under seal are twelve (12) years (§ 5-102). Confirmed judgments are renewable. Suing on a debt that is plainly time-barred is a § 14-202(8) violation per Andrews & Lawrence.
• Licensing. Third-party debt collectors and most debt buyers must hold a Maryland Collection Agency License from the Office of the Commissioner of Financial Regulation. Md. Code Ann., Bus. Reg. § 7-301. Operating or suing without a required license is a per se § 14-202(8) violation per Finch v. LVNV Funding LLC, 212 Md. App. 748 (2013).
• MCPA leverage. Every actionable FDCPA or § 14-202 violation is also an MCPA violation under § 13-301(14)(iii), exposing the collector to actual damages and reasonable attorney's fees under § 13-408.
• Emotional distress without physical injury. § 14-203 expressly authorizes MCDCA damages for emotional distress or mental anguish "with or without accompanying physical injury" — a more plaintiff-friendly standard than common-law IIED claims.
• Regulation F. The CFPB's Regulation F, 12 C.F.R. Part 1006, supplements the FDCPA with content and delivery requirements for the validation notice and limits on email/text/social-media contacts. It applies in Maryland alongside the MCDCA.
• Don't admit. A partial payment or written acknowledgment of a debt can re-start the limitations period on a contract debt under Maryland law. Use the without-prejudice language above and never confirm "yes, I owe this" on a recorded line.
• Cease-communication trade-off. Using § 1692c(c) stops collector contact but does not stop credit reporting or litigation. Many practitioners delay the cease-communication election until after verification is received (or fails) so the collector cannot avoid the validation request by simply ceasing.

9. SOURCES AND REFERENCES

• 15 U.S.C. § 1692g (validation of debts) — https://www.consumerfinance.gov/rules-policy/regulations/1006/
• 12 C.F.R. Part 1006 (Regulation F) — https://www.consumerfinance.gov/rules-policy/regulations/1006/
• Md. Code Ann., Com. Law § 14-201 (MCDCA definitions) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-201
• Md. Code Ann., Com. Law § 14-202 (Prohibited acts) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-202
• Md. Code Ann., Com. Law § 14-203 (Liability) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=14-203
• Md. Code Ann., Com. Law § 13-301 (Defined practices) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=13-301
• Md. Code Ann., Com. Law § 13-408 (Private action) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=13-408
• Md. Code Ann., Bus. Reg. § 7-301 (Collection Agency License) — https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gbr&section=7-301
• Maryland Office of the Attorney General — Consumer Protection Division — https://www.marylandattorneygeneral.gov/Pages/CPD/default.aspx
• Office of the Commissioner of Financial Regulation — https://www.labor.maryland.gov/finance/
• Maryland State Department of Assessments and Taxation (resident-agent search) — https://egov.maryland.gov/BusinessExpress/EntitySearch
• CFPB Consumer Complaint Portal — https://www.consumerfinance.gov/complaint/
• Andrews & Lawrence Prof'l Servs., LLC v. Mills, 467 Md. 126 (2020) (§ 14-202(8) reaches non-FDCPA creditors)
• Finch v. LVNV Funding LLC, 212 Md. App. 748 (2013) (unlicensed collection per se § 14-202(8) violation)
• Jeter v. Credit Bureau, Inc., 760 F.2d 1168 (11th Cir. 1985) (FDCPA "least sophisticated consumer" standard)

Disclaimer: This template is provided for informational purposes only and does not constitute legal advice. Consult an attorney licensed in Maryland for advice on disputed or complex debts before sending.