Debt Collection Scam Email: IAC Recovery Systems Ltd, Past Due Notice

Debt Collection Scams

Past Due Notice, IAC Recovery Systems Ltd,

Did you receive an email from a debt collection agency, "IAC Recovery Systems Ltd", stating that your account is past due and has been referred to the debt collector? Yet, there are no details about what the debt is or when it was incurred? Did they ask you to pay using

DON'T pay it! First, we are unaware of any legitimate debt collectors contacting people by email (how would they even know an email address associated with a debt?) And legitimate debt collectors must, under the Fair Debt Collection Practices Act, send a letter within 5 days of contacting you, stating what the debt is, why it's owed and how much they believe you owe. The recipient then has 30 days to respond by either contesting it in writing or making payment arrangements.

The email below, received by a real person, is most likely a scam, and probably either a phishing attack to gain information about your identity or to steal money from you.  There MAY be a real and possibly legitimate company with the name "IAC Recovery Systems Ltd" which may be unrelated to this email. But clearly, this email is at best inappropriate and most likely a scam!

Here's why we believe this:

  1. This exact same email is being sent to multiple people, see this page for another example.
  2. The email provides no details to validate the debt, nor any information that uniquely identifies the recient.
  3. Norton identifies the website that the recipient is instructed to use for payment of the debt ( as unsafe and a phishing scam.
  4. A search in Google turns up no information about the company, IAC Recovery Systems Ltd, no company website, only questions and other sites identifying it as a scam

Note from the victim:

The below email seemed legitimate because I have a lot of debt and I was just on the phone yesterday with a collection agency.  HOWEVER I keep a spreadsheet of all my accounts and debts and this amount doesn't fit in anywhere.  Furthermore, it doesn't reference any actual company or credit card.  Someone who isn't as diligent as I am would likely pay this and then they would have their banking and everything.  Please stop whoever is doing this so no one gets hurt.  Thank you!

The Scam:

Past Due Notice

Thursday, January 7, 2010 5:46 AM

From: This sender is DomainKeys verified "IAC Recovery Systems Ltd." <>Add sender to Contacts

To: darrylfratus1in@gmail.comMessage contains attachments1 File (34KB) 

The attachment reads as follows: 

IAC Recovery Systems Ltd.
17165 Platte St., Suite 110
Denver, CO 80202
Fax: (303) 756-3400

January 5, 2010

RE: Balance Due: $293.11
Reference Number: 21547182-085-583-185
File Number: 2997224145728232 

Dear Account Holder:

Your account is past due and has been referred by your creditor to our agency for collection. The balance shown above is the amount due as of the date of this letter in addition to any late fees. This amount may change due to interest or other charges that may be added to the account after the date of this letter.

This is a serious matter!

We want to give you the opportunity to resolve this debt now.

Your account is payable by all types of credit cards. Please follow the secure link below to make your payment: 

We are a debt collector attempting to collect a debt and any information obtained will be used for that purpose. 


Unless you notify this office within 30 days after receiving this notice that you dispute the validity of this debt or any portion thereof, this office will assume this debt is valid. If you notify this office in writing within 30 days from receiving this notice that you dispute the validity of this debt or any portion thereof, this office will obtain verification of the debt or obtain a copy of a judgment and mail you a copy of such judgment or verification. If you request of this office in writing within 30 days after receiving this notice this office will provide you with the name and address of the original creditor, if different from the current creditor.

Learn more about debt collection rights and laws

  1. See this page for what to do, step by step
  2. What may a debt collector NOT say or do?
  3. You need to know your rights, which are primarily spelled out in the Fair Debt Collection Act.  Click on the link to read it!  It is not too look and is not hard to read! 
  4. You can file a compliant against a debt collector with the FTC - Use this form to submit a complaint to the Federal Trade Commission (FTC) Bureau of Consumer Protection about a particular company or organization..
  5. You can fight back with a lawsuit - First, see the answer to this question, then see Handel on the Law to find a recommended lawyer near you. You may also be able to file a lawsuit in small claims court yourself.

And see this page for commonly asked questions about your rights under the Fair Debt Collection Practices Act.

More Resources

The FTC works for the consumer to prevent fraudulent, deceptive and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters Internet, telemarketing, identity theft, and other fraud-related complaints into Consumer Sentinel, a secure, online database available to hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.

If you believe you may have fallen victim to an internet scam and wish to report it, please file a complaint with the U.S. government Internet Fraud Complaints Center




For a comprehensive list of national and international agencies to report scams, see this page.