Who is ACCS?

National Corrective Group, Inc. (NCG) is now the name of the company operating the ACCS "district attorney bad check restitution program" collection business.  ACCS contracts with local prosecuting attorneys’ offices to operate Bad Check Restitution Programs in 140 counties throughout the nation.  Once ACCS  obtains a contract, it advertises to merchants and other debt collectors for unpaid checks.  When the checks are referred to ACCS, it then sends collection letters to the check writers that warn that they have been accused of a crime, and that to avoid prosecution, they have “the option” to enroll in an expensive mandatory “misdemeanor diversion program,” pay the check and pay additional fees assessed by ACCS.

In class action lawsuits filed in California and other states, consumers are challenging ACCS’s collection practices.  The plaintiffs in these lawsuits claim that the letters are deceptive and misleading for many reasons including:

•       The letters do not disclose that they are sent by a private company, rather than the prosecuting attorney’s office.

•        ACCS in almost all cases has received the dishonored check directly from a merchant, or another collection agency.  In most cases, the merchant or collection agency has referred the check to ACCS for collection, and has not accused the check writer of a crime.  In most cases a district attorney has not reviewed the case, or even seen the check.

•       In most states the check writer has not committed a crime unless the check writer intended to write a bad check.  (The details of what constitutes a bad check crime vary from state to state).

•         Most or all of the fees that ACCS charges have no legal basis.

•        ACCS fails to provide the consumer warnings on the letters that the Fair Debt Collection Practices Act requires.

•        ACCS threatens check writers with prosecution when it does not have the intent or capability of prosecuting a check writer.  Also when ACCS sends its letters to individual check writers, it has no idea whether a prosecutor will decide to prosecute any individual check writer.  After ACCS exhausts its collection efforts, it may send the check to the local prosecutor, who will then review the check and any evidence to decide whether to take any action

* ACCS changed its name to American Corrective Group (ACG).  In January 2009 ACCS filed a bankruptcy petition.  In the bankruptcy, ACCS is listed as being owned by SCH Corporation.  National Corrective Group, Inc. (NCG) is now the name of the company operating the ACCS "district attorney check restitution program" collection business.