Old FMO came back for owed chargebacks

[tvc123]

I worked with an FMO 7 years ago. They had a terrible set-up where they would take 1/4 of commissions, whether it was the sign-up or the renewal. Anyways, they came back, now 7 years later, saying that I had a chargeback balance.
I don't believe it because 1. It's been 7 years, 2. They were taking so much of my commissions and renewals that I don't see how it's possible for there to be chargebacks. I remember monitoring my deals, and all my clients stayed past the 2 year mark. 3. I asked for a breakdown of clients and proof of the chargebacks, and never received it. They just keep requesting I send a check for a few thousand.

Has this ever happened to you? Any advice?

 

[fed up]

Keep insisting on an accounting of your customers until you get the records. I went as far as contacting the customers who quit the policies I wrote and found out that my carrier's agents rewrote the business so there were no chargebacks due.

 

[WinoBlues]

I worked with an FMO 7 years ago. They had a terrible set-up where they would take 1/4 of commissions, whether it was the sign-up or the renewal. Anyways, they came back, now 7 years later, saying that I had a chargeback balance.
I don't believe it because 1. It's been 7 years, 2. They were taking so much of my commissions and renewals that I don't see how it's possible for there to be chargebacks. I remember monitoring my deals, and all my clients stayed past the 2 year mark. 3. I asked for a breakdown of clients and proof of the chargebacks, and never received it. They just keep requesting I send a check for a few thousand.

Has this ever happened to you? Any advice?

Yes. I think once from some IMO and once from a company Sentinel Security I think. The IMO would not show proof. Some VP from the company sent a couple nasty letters but no proof. So I had them dig deeper. Turned out they owed me renewals.

 

[steve3752]

There is a statute of limitations in each state. Find out what it is your state for collection of debt. If it is beyond the statute of limitations send them a letter saying if they sue you, you will counter sue them for malicious prosecution, intentional infliction of mental distress, fraud and you will file complaints with every state insurance licensing entity and try to get them banned from selling insurance in every state.

 

[Todd King]

Continue to ask them to prove it. If they can't then they don't have a leg to stand on. Even if they report you to Vector, you can dispute it and they have to prove it to Vector or Vector will take you off of the report.