If Resurgent Capital Services has contacted you about a debt, you are not dealing with a typical collection agency. Resurgent is the operational arm of one of the largest distressed consumer debt buying operations in the United States, and understanding how it fits into the broader corporate structure behind it is essential for knowing what you are up against and what your options are.
Resurgent Capital Services, L.P. is a third-party debt servicer and collector headquartered in Greenville, South Carolina. The company manages and collects on debt portfolios owned by LVNV Funding, LLC, which purchases charged-off consumer debt from banks, credit card companies, and other lenders at steep discounts, often for just a few cents on the dollar. Both Resurgent and LVNV Funding are subsidiaries of Sherman Financial Group, LLC, a privately held conglomerate that is one of the largest debt buying operations in the country. Sherman Financial was founded by Benjamin W. Navarro.
If you see Resurgent Capital Services, LVNV Funding, Sherman Financial, Sherman Acquisition, or Alegis Group on your credit report or in collection correspondence, they are all connected to the same parent organization.
The Corporate Structure
Understanding the relationship between these entities is important because it affects who owns your debt, who is collecting it, and who has the authority to settle or dismiss it.
LVNV Funding, LLC is a debt buyer. It purchases portfolios of defaulted consumer debt from original creditors like banks and credit card companies. LVNV does not collect debts directly. Instead, it outsources the management and collection of its portfolio to Resurgent Capital Services.
Resurgent Capital Services, L.P. is the servicer. It handles the day-to-day collection activity on debts owned by LVNV Funding. Resurgent may contact you directly, or it may assign your account to a third-party collection agency or law firm to handle the actual outreach.
Sherman Financial Group, LLC is the parent company that owns both LVNV Funding and Resurgent Capital Services, along with several other subsidiaries including Sherman Acquisition Limited Partnership, Alegis Group LLC, Ascent Card Services, and others. Sherman Financial is a privately held company, which means it is not subject to the public financial reporting requirements that apply to publicly traded debt buyers like Encore Capital Group or PRA Group.
The practical effect of this structure is that when Resurgent contacts you, the debt is owned by LVNV Funding, and both entities are controlled by Sherman Financial Group. Any settlement or payment arrangement you negotiate with Resurgent is effectively being negotiated with the debt owner, even though the two operate as separate legal entities.
For a broader explanation of how debt ownership and collection relationships work, ACB's article on what is the difference between a creditor and a collector covers this distinction in detail.
Contact Information
Resurgent Capital Services phone: (864) 678-8421
Fax: (866) 467-1091
Physical address: 55 Beattie Place, Suite 110, Greenville, SC 29601
Website: resurgent.com
LVNV Funding website: lvnvfunding.com
Resurgent also operates from offices in Ohio. The company maintains a consumer-facing website with educational content about debt and credit, as well as a payment portal for consumers looking to resolve accounts.
What Types of Debt Resurgent Collects
Because LVNV Funding purchases charged-off debt from a wide range of original creditors, the types of accounts Resurgent pursues are diverse. The most common categories include credit card debt from major issuers, personal loans and lines of credit, auto loan deficiency balances, retail credit accounts, telecommunications debt, and medical debt.
LVNV typically purchases these debts at an average of approximately three cents on the dollar, according to industry analyses. This deep discount is important context for consumers because it means the debt owner has a significant margin between what they paid for your account and what they are trying to collect. This margin creates room for settlement negotiations, since LVNV can accept a fraction of the face value and still turn a profit.
Regulatory Actions and Legal History
Resurgent Capital Services and LVNV Funding have faced significant regulatory scrutiny over the years, including enforcement actions, license suspensions, and legal settlements that consumers should be aware of.
Maryland License Suspension and Settlement
In October 2011, the Maryland State Collection Agency Licensing Board issued a Summary Order to Cease and Desist and suspended the collection agency licenses of both LVNV Funding and Resurgent Capital Services. The Board found that the companies had knowingly filed false and deceptive affidavits in Maryland courts, intentionally misrepresented the amounts owed by consumers, collected impermissible compound interest, knowingly collected unauthorized attorney fees and prejudgment interest at unauthorized rates, and filed lawsuits on debts to which LVNV did not have valid title.
In July 2012, the companies reached a settlement with the Maryland Board. As part of the agreement, LVNV and Resurgent dismissed approximately 3,500 lawsuits representing more than $7.7 million in claims. They were required to apply credits of nearly $4 million to the accounts of more than 6,200 consumers. And they paid a $1 million penalty to the state of Maryland.
New York Settlement
In May 2014, Sherman Financial Group was required to pay $175,000 to New York State in civil penalties and costs related to improper debt collection activities within the state.
Consumer Complaints
The Consumer Financial Protection Bureau has received numerous complaints about both Resurgent Capital Services and LVNV Funding. Common complaint themes include attempts to collect debts consumers do not believe they owe, collection on debts that are past the statute of limitations, failure to properly validate debts when challenged, inaccurate credit reporting, and aggressive or persistent collection tactics.
These regulatory actions and complaint patterns do not mean that every account Resurgent pursues is illegitimate. Many of the debts they collect are valid obligations that consumers genuinely owe. But the history does underscore the importance of verifying every detail before making any payment.
What to Do If Resurgent Contacts You
Verify the Debt
Under the Fair Debt Collection Practices Act, you have the right to request written validation of the debt within 30 days of Resurgent's first contact. The validation must include the amount owed, the name of the original creditor, and your right to dispute. Given the regulatory history described above, validating the debt is not just advisable but essential. ACB's article on what is a validation notice and why do I need one explains this process step by step.
Identify the Original Creditor
Because LVNV Funding purchases debt from other companies, the account may have passed through multiple hands before reaching you. Ask Resurgent to identify the original creditor, the date of last payment, the original account number, and the chain of ownership. If Resurgent cannot provide this documentation, they may not be able to prove they have the legal right to collect the debt.
Check the Statute of Limitations
One of the most common complaints against Resurgent and LVNV involves attempting to collect on debts that are past the statute of limitations. Every state has a deadline after which a creditor can no longer sue to collect a debt. If the statute of limitations has expired on your account, you are not legally obligated to pay, and Resurgent cannot take you to court. However, be cautious: making a partial payment or acknowledging the debt in writing can restart the clock in many states.
Be Aware of Lawsuits
Unlike many collection agencies, the Resurgent and LVNV operation has a documented history of filing lawsuits against consumers to collect debts. If you receive a summons related to a debt from LVNV Funding, Resurgent Capital, or any affiliated entity, do not ignore it. Failing to respond results in a default judgment, which gives the creditor the ability to garnish your wages, levy your bank accounts, or place liens on your property depending on your state's laws. ACB's article on what happens if I am sued by a collection agency explains the lawsuit process and how to respond.
Negotiate a Settlement
Because LVNV purchased your debt at a steep discount, there is typically significant room for settlement negotiation. Consumers have reported settling LVNV and Resurgent accounts for 20% to 60% of the face value, depending on the age of the debt, the amount, and the consumer's financial situation. Get any settlement agreement in writing before sending payment, including confirmation that the remaining balance will not be pursued and that the account will be updated with the credit bureaus. ACB's article on how to pay a debt collection agency covers the settlement process in detail.
How Resurgent Compares to ACB
Resurgent Capital Services and Advanced Collection Bureau occupy fundamentally different positions in the collection industry. Resurgent is a debt servicer that manages and collects on portfolios of purchased consumer debt owned by LVNV Funding, a debt buyer. ACB is a contingency-based collection agency that collects on behalf of its clients, primarily landlords, property managers, healthcare providers, and small businesses, without purchasing or owning the debt.
This distinction matters. When you deal with Resurgent, you are dealing with the entity that effectively owns your debt through its corporate affiliation with LVNV. When a creditor places an account with ACB, the creditor retains ownership and ACB acts as their agent. ACB operates on a contingency-only basis, reports to all three major credit bureaus twice per month, and never charges interest on debts in its care.
For businesses evaluating collection partners, ACB's article on the pros and cons of contingency-only collection agencies explains why the contingency model works well for most creditors.
Filing a Complaint
If you believe Resurgent Capital Services or LVNV Funding has violated your rights, you can file a complaint with the following agencies.
The Consumer Financial Protection Bureau accepts complaints online and by phone at (855) 411-2372.
The Federal Trade Commission accepts fraud and consumer protection complaints.
The South Carolina Department of Consumer Affairs handles complaints about businesses operating in South Carolina and can be reached at (803) 734-4200.
If you are dealing with a debt and need a collection partner that prioritizes compliance and results, contact Advanced Collection Bureau at (321) 633-4999 or visit advancedcb.com.
