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How to Settle Debt With Financial Recovery Services

George Simons | January 28, 2025

Fact-checked by Patrick Austin, J.D.

Patrick Austin
Attorney from George Mason
Patrick Austin, JD

Patrick Austin is a licensed attorney with a background in data privacy and information security law. Patrick received his law degree at George Mason University's Antonin Scalia Law School, where he served as the Editor-in-Chief for the National Security Law Journal.

George Simons
Co-Founder of SoloSuit
George Simons, JD/MBA

George Simons is the co-founder and CEO of SoloSuit. He has helped Americans protect over $1 billion from predatory debt lawsuits. George graduated from BYU Law school in 2020 with a JD-MBA. In his spare time, George likes to cook, because he likes to eat.

Edited by Hannah Locklear

Hannah Locklear
Editor at SoloSuit
Hannah Locklear, BA

Hannah Locklear is SoloSuit’s Marketing and Impact Manager. With an educational background in Linguistics, Spanish, and International Development from Brigham Young University, Hannah has also worked as a legal support specialist for several years.

Summary: Financial Recovery Services is a legitimate debt collector. To settle debt, know your rights under FDCPA, validate the alleged amount, negotiate a settlement, and respond to any pending lawsuit to avoid default judgment. Solo can help with all this and more.

If you have been contacted by Financial Recovery Services, it's easy to go into panic mode. You may feel cornered and helpless if you are already in a stressful financial situation. Instead of beating yourself up, it helps if you learn how to handle debt collectors without losing your mind.

In this article, we’ll explain who Financial Recovery Services is, who they collect for, and how to negotiate with them to settle your debt for less.

Settle debt with Financial Recovery Services

You can negotiate debt settlement at any stage of the collections process. SoloSettle makes it easy.

Settle with SoloSettle

What is Financial Recovery Services?

Financial Recovery Services is a legitimate debt collections agency that specializes in recovering money from delinquent accounts for its clients. Founded in 1996, Financial Recovery Services has several alternative names including FRS, Financial Recovery Services of Minnesota, and fin rec svc.

You can contact the company at the Financial Recovery SErvices phone number:

  • Telephone: 952-831-4800
  • Consumer Hotline: 866-438-2860
  • Address: 1345 Mendota Heights Road, Suite 100, Mendota Heights, MN 55120
  • Website: https://www.fin-rec.com/

Who does Financial Recovery Services collect for?

FRS collects debts for an array of companies operating in different sectors of the economy. This means you may be contacted by Financial Recovery Services for a delinquent utility bill, unpaid credit card, delinquent auto loan, etc.

To be more specific, Financial Recovery Services collects for companies in the following industries:

  • Bank
  • Credit Card
  • Retail
  • Installment Loan
  • Service Contracts
  • Utilities

Read reviews of Financial Recovery Services online

If you are curious to know what people have said about their interactions with FRS on different debt collection matters, then take a moment to read these reviews:

Despite the online reviews for Financial Recovery Services being pretty mixed, this should not deter you from taking steps to engage with them in an effort to resolve the debt collection matter. Many debt collectors, including FRS, are open to working with individuals to resolve their concerns and get their debt paid in a manner that works for them, based on their current financial situation. Proactive communication is the key.

If calling a debt collector to negotiate doesn’t sound like your idea of fun, try using SoloSettle to negotiate online and resolve your debt through the digital settlement platform.

The law protects you against debt collectors like fin rec svc

Debt collection is a regulated industry. FRS doesn't get to play by its own rules. However, some debt collectors may resort to bullying, hoping to scare you into paying off your debt faster. Harassment is against the Fair Debt Collection Practices Act regulations. So are spam calls and the use of profane language. Here are some of your rights when dealing with Financial Recovery Services.

Right to privacy

No debt collector can disclose or discuss the details of your debt with unauthorized third parties. Consequently, they should not call friends, workmates, or extended family to talk to them about your credit life.

Because of your right to privacy, debt collectors cannot send you postcards. And if they have to leave a voice message, it must be a limited-content message.

Limited-content messages must contain:

  • A company name that does NOT indicate they are debt collectors
  • A phone number you can use to call back
  • A request that you reply to the message
  • Any additional optional information that does not break the privacy rule, such as a greeting and the company representative's name you will speak with if you respond.

If FRS chooses to contact you through social media, the communication must be private. Your friends and followers should not see the messages they send you. They must identify themselves as debt collectors and give you a way to opt out of receiving the messages.

Right to respect and dignity

Just because you owe money does not give anyone the right to disrespect you. That means FRS employees can't use profanities or derogatory language when contacting you.

Debt collectors calling your workplace can result in added anxiety because you worry about your boss' and co-workers' opinions about you. That's why it's wrong for debt collectors to try to embarrass you by calling your work after you ask them not to do so.

Right to information

Whenever FRS contacts you on the phone, the caller must fully identify themselves and give you their full address and phone number. The caller should also be able to identify you correctly.

After the first contact, they should follow up with a written debt validation notice not more than five days later.

The validation notice should include:

  • The company's name and mailing address.
  • Name of the initial creditor.
  • The debt account number (if any).
  • The current amount owed, including fees, interests, payments, and credits for the said period.
  • Your rights when dealing with debt collectors.
  • A way to dispute the debt is usually a tear-off page you can send back.

If you dispute a debt, FRS should investigate and provide proof by documentation to support their claims.

Right to send a Cease and Desist

You can stop debt collectors from contacting you. Telling FRS to cease contact does not resolve the debt, but it can save you the hassle of dealing with calls and unending debt collection emails and messages.

How to engage with fin rec svc

If, like everyone else, you hate debt collection calls or wonder how you can reduce the chances of ever dealing with them, here are some pointers.

Pay debts promptly

The most obvious antidote for debt collection agencies is keeping up with repayments. Make a point of keeping your end of the bargain as in the contract you signed. This way, it's less probable that your creditor will involve third-party debt collectors or charge off your account.

Check your credit report regularly

Even before you have an account in collections, make a habit of checking your credit report regularly. You can catch errors in your credit history early to prevent them from hurting your credit score.

It's free to get your credit records from TransUnion, Equifax, and Experian annually. And no, checking your credit report will not hurt your credit score. It's not the same as when a prospective lender pulls a hard inquiry on your credit.

Send a debt validation letter to fin rec svc

A debt validation letter differs from the debt validation notice the debt collector or creditor sends you. This is you requesting the debt to be validated. You can send the letter after you receive the validation notice. With this letter, you buy yourself some time as FRS proves with documentation that every detail about the debt in question is accurate.

To be on the safe side, use certified mail when you send the letter so that you know when FRS receives it. Upon receipt, the company has thirty days to investigate and get back to you. If they can't prove you owe them money, they must cease all collection efforts.

You can learn more about sending a debt validation letter by watching this video:

Report fraudulent and abusive debt collectors

Your rights under the FDCPA are not meant to scare away debt collectors. You can enforce those rights by law if FRS oversteps any of them.

Report any misuse of office by FRS to the Fair Trade Commission (FTC), Consumer Financial Protection Bureau (CFPB), and the Better Business Bureau (BBB).

If you feel that you can't let the abuse pass, you can get a lawyer to sue FRS. If you win, you're entitled to damages of up to $1000 per violation and your attorney's fee.

In the case of suspected identity theft, report immediately to the authorities so that the issue is investigated and resolved as quickly as possible.

How to negotiate with Financial Recovery Services to settle your debt

Whether you’ve received a single phone call or been served with a Summons and Complaint, you retain the option to try and negotiate a debt settlement with Financial Recovery Services. For context, a debt settlement basically asks the debt collector to accept a lesser amount than what is owed. Generally speaking, debt collectors are amenable to such a proposal since it allows them to collect on, and close, a delinquent account.

Below are some straightforward steps you can take to try and negotiate a debt settlement with FRS:

  1. If you were in fact sued by FRS, make sure to respond to the debt collection lawsuit in a timely fashion.
  2. Conduct a calculation of what you can pay towards the amount owed. For example, if you owe $7,000 and could reasonably pay $3,000 toward that balance and still have sufficient funds to cover your living expenses, then you can develop negotiating parameters for a debt settlement discussion.
  3. Once you’ve determined what you can pay toward the debt, reach out to FRS and convey your settlement offer. You can kick off settlement talks over the phone or through a formal debt settlement letter. It is recommended to engage in written communications, so consider sending the letter.
  4. Generally speaking, your opening settlement offer should be lower than the number you calculated in Step 2. Why? Because this will provide some flexibility for you to negotiate upward if FRS rejects your initial offer.
  5. If you are successful in reaching a settlement agreement, make sure to memorialize the terms in a Debt Settlement Agreement. Both you and the debt collector need to sign the agreement.
  6. Be sure to pay the agreed amount in a timely manner.

Gain additional insight into how to settle your debt with Financial Recovery Services by watching this informative video:

Sued by Financial Recovery Services? How to respond

If FRC is suing you for a debt, the first step to beating them in court is to file a written Answer. Many people who are sued for debt choose to ignore the lawsuit, or perhaps they just don't know where to begin to respond. Ignoring a lawsuit against fin rec svc will most likely lead to a default judgment being placed against you. Default judgment gives fin rec svc the right to take your money by garnishing your wages or putting liens on your property.

You can avoid default judgment by following these three steps:

  1. Respond to every paragraph in the Complaint.
  2. Assert your Affirmative Defenses.
  3. File the Answer with the court and send a copy to the plaintiff (in this case, Financial Recovery Services).

Learn more about these three steps by watching the video below. SoloSuit's CEO, George Simons, breaks down how to respond to a debt lawsuit and beat big collection agencies like fin rec svc:

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