AllianceOne On Your Credit Report?

Alliance One: Award-Winning Debt Collection

AllianceOne Receivables Management, Inc., a long-established debt collection agency based in Plymouth Meeting, PA, has an A+ rating with the Better Business Bureau (BBB) and was awarded the  2023 Best Practices Leadership Award. But this valedictory rating does not tell the whole story of the consumer experience with the company. In fact, despite being an A+ company, AllianceOne has closed more than 550 complaints in the past three years, many of which concern billing disputes, collection issues, and alleged violations of consumer rights. While operating within the bounds of the regulatory framework of the industry, they have also drawn significant consumer pushback for the conduct of their activities.

So perhaps the high BBB rating  despite the volume of complaints is a testament to the company’s efforts to resolve disputes once they arise. Still, consumers should handle any interaction with this agency with great care. Consumers are protected from unfair or deceptive collection practices under the Fair Debt Collection Practices Act, or FDCPA, and learning and asserting one’s rights under this law is essential when dealing with a company whose business model is based on collecting debts on behalf of creditors. 

The huge volume of complaints against AllianceOne only underscores the need for consumers to stand up for themselves as they wade through the debt recovery process. The complaints range from aggressive communications practices to billing errors. AllianceOne may be an efficient collector for creditors, but consumers can be challenged by an agency that is often not aware of the protections afforded to them under federal law.

AllianceOne’s Award and What It Really Means for Consumers

Notably, AllianceOne’s 2023 Best Practices Leadership Award is given because it ‘follows industry guidelines and standards to provide superior service to clients’. And its service to its clients is, of course, debt-collection. This award does not change their primary mission: collecting debts for their clients, generally in a more efficient manner, which often means faster and more aggressive debt-collection practices. 

The fact that the award indicates that AllianceOne is operating within the law is good, but it does not mean that they actually care about consumer welfare. Consumers still have to be responsible to ensure that AllianceOne treats them in a manner consistent with the FDCPA, and that AllianceOne does not harass or misinform them.

But that same distinction, the Best Practices Leadership Award, signifies that AllianceOne likely employs hard-charging tactics aimed at early resolution. From that perspective, the award could also be read to mean that AllianceOne pursues quick, aggressive collection efforts that benefit creditors but potentially disadvantage consumers.

What’s important is knowing that AllianceOne is working within the law, but its goal is to collect debts in the most efficient manner possible. That’s not always in your best interest as a consumer. When AllianceOne is collecting on a debt, remember that even award-winning companies can use strategies against you. Request documentation, ask questions, and insist on your rights under the FDCPA.

The Role of Technology in Debt Collection: Efficient for Them, Risky for You

While AllianceOne’s heavy reliance on technology makes the company more efficient it also leads to potential blind spots. Automated systems allow debt collection agencies to track debt and communicate at scale, but debt can be reported erroneously, or communications can end up in the wrong hands. Automated systems might not be equipped to account for vagaries in debt reporting, such as a previously paid debt, or an account that was inaccurately transferred. As a result, consumers can be vulnerable to being chased for a debt that doesn’t exist.

In other words, if your account is turned over to collection, you will likely be bombarded with notices, calls, or emails initiated by software, not by human beings. That invariably means less capacity to take account of each individual debtor without the context of their situation, and less ability to handle disputes or errors. Second, you will likely encounter significant frustration if you try to reach an amicable solution with a technology-driven debtor. After all, communicating with a robot about a mistake is not particularly satisfying or productive.

Keeping these factors in mind, it’s essential that consumers remain vigilant participants in the process. Whenever you’re contacted by AllianceOne, double-check everything. Keep copies of all your payments and records. If something doesn’t look right, challenge it. Whatever you do, don’t let it go unchecked. You have the right to dispute inaccuracies, and AllianceOne has an obligation to verify the debt if you ask them to under the FDCPA.

How to Protect Yourself When Contacted by AllianceOne

Step one when you receive an AllianceOne communication, call them and request a debt validation letter. Under the FDCPA, they are required to provide one, and without it, they are prohibited from continuing collection efforts until they prove to you that the debt is valid. Without that proof, they can’t legally pursue you. Don’t assume the debt is good—mistakes happen all the time with debts as they get sold or transferred between agencies.

After you’ve requested debt validation, be sure to review the information carefully. Verify the amount that is owed and confirm the debt is in fact yours. If this information is incorrect, you have the right to dispute the debt. Always keep all communications with AllianceOne in writing and, if you feel your rights are being violated, know you have the right to complain. The FDCPA prohibits debt collectors from harassing you. Collection agents are prohibited from calling you excessively, using threatening language, or attempting to collect a debt at unreasonable times.

It is also important to be aware of your legal rights to push back against a debt collector who is trying to intimidate you into paying, even though AllianceOne might be acting in accordance with industry standards. The onus is still on you to ensure that the debt collector is acting legally, and that communications between you and them are fair, transparent, and accurate. Debt collectors are trained to try and bring negotiations to a conclusion but you always have the right to ask for fairness, transparency, and time.

Resolving Debt Without Sacrificing Your Financial Health

If you’re going to pay AllianceOne, make sure it’s on your terms. Payment plans and settlements can be a good way to ease your financial burden, but you don’t want to agree to terms that don’t serve you in the long run. Don’t fall prey to the lure of getting the collection off your back, either; take your time reading the fine print, and make sure you can pay.

Always ask that any agreement you reach be provided in writing, as well as a clear statement of what will be reported to the credit bureaus. (Ideally, you want any settled debts to be reported as "paid" or "paid in full," not "settled for less," as the latter can still negatively impact your credit score.) If AllianceOne is unwilling to agree to these terms, you should be prepared to dig in and look at other options.

In some situations, engaging a credit repair service—such as Credit Glory—can be an important step along the way to restoring your financial health. Credit repair companies can help you take control of your disputes and interact with debt collectors to potentially get derogatory marks removed from your credit report once and for all. They can also negotiate better payment terms that will help you settle the debt without compromising your long-term financial health.

You may not like what you hear, but if you stop and take the time to get things in order, you can save yourself a lot of headaches in the long run. Know your rights, stay alert, and make sound choices, and you will be able to work out an alternative with your debt collector at AllianceOne while keeping a clear path to your financial future.

Your Financial Defense Strategy Starts Here

Debt collection can be a daunting prospect for consumers who are facing off with a large company such as AllianceOne, especially when that company is armed with advanced collection methods that rely on technology and persistence. This is when Credit Glory can assist, as the company brings the expertise required to help consumers maneuver through the complexities of dispute and credit repair. If you are currently experiencing a situation in which a company such as AllianceOne is taking collection action against you, Credit Glory can help you ensure that your rights are protected and that errors and inaccuracies in your credit report are disputed.

Credit Glory’s services are particularly beneficial for addressing credit disputes and settlements. They will comb through your credit report for any collection entries, determine if an entry is incorrect, and submit a dispute on your behalf to get those bad marks off your report. They will also serve as a bargaining agent if you’d rather not communicate with a debt collector such as AllianceOne. For consumers who already have bad credit because of collections or defaults, Credit Glory will create a personalized credit-building program to help you rebuild your financial status for good.