If Financial Recovery Services, Inc. is showing up on your credit report, it usually means you have an unpaid debt that’s been sent to collections. That can damage your credit score and lead to frustrating phone calls, letters, or worse.
The good news? You’re not stuck with it. In this guide, we’ll explain who they are, how they affect your credit, and what you can do to get them removed from your credit report—legally and effectively.
Who Is Financial Recovery Services?
Financial Recovery Services, Inc. (often abbreviated as FRS) is a third-party debt collection agency. They are based in Superior, Wisconsin, and Edina, Minnesota. Their job is to collect unpaid debts on behalf of other companies.
If FRS is listed on your credit report, it means a creditor—like a credit card company, lender, or utility provider—has turned your account over to them for collection.
Why Is Financial Recovery Services on Your Credit Report?
Most of the time, you’ll see FRS on your credit report because an account you didn’t pay went into default. Once an account becomes seriously past due, the original creditor might charge it off and sell it to a collection agency like FRS—or hire them to recover the balance.
Once FRS receives the account, they report it to the credit bureaus as a collection account. This lowers your credit score and can stay on your credit report for up to seven years from the date of the original delinquency.
Who Does Financial Recovery Services Collect For?
FRS collects debts for a range of industries, including:
- Credit card companies – such as major issuers or store cards
- Installment loan providers – including personal loans or auto loans
- Retail businesses – especially those offering financing
- Utility companies – like electric, gas, or cable providers
- Service contract firms – such as warranty or insurance services
They don’t always disclose who the original creditor is in early communication, so it’s important to request that information before paying.
Is Financial Recovery Services a Legitimate Company?
Yes, Financial Recovery Services is a legitimate debt collection company. They’re not a scam. That said, just because a company is legitimate doesn’t mean their information is always accurate.
Debt collectors sometimes report incorrect details or pursue debts that are already paid, discharged in bankruptcy, or too old to collect. You still have rights, and you should never assume that just because it’s on your credit report, it’s correct.
How Financial Recovery Services Affects Your Credit Score
Collection accounts like those reported by FRS can seriously damage your credit score. The impact depends on several factors:
- Payment history – Your credit score weighs missed payments heavily.
- Date of delinquency – Newer collections hurt more than older ones.
- Account type – Medical debts and utility bills may be treated differently by newer scoring models.
- Amount owed – Large balances can lower your score more.
Even if you pay the debt, the negative account can remain for up to seven years unless you get it removed.
How to Remove Financial Recovery Services From Your Credit Report
There are a few effective ways to get a collection account removed—especially if the account is inaccurate, unverifiable, or the agency is willing to negotiate.
Dispute Inaccurate Information
Start by checking your credit report for errors. Make sure the debt amount, dates, and account status are all accurate. If you find any mistakes, file a dispute with the credit bureaus. They have 30 days to investigate and correct or remove the account.
Send a Debt Validation Letter
You have the right to request proof that the debt is yours. Within 30 days of FRS contacting you, send a debt validation letter. Ask them to confirm the original creditor, account number, and balance. If they can’t validate the debt, they must stop collecting and remove it from your credit report.
Request a Pay-for-Delete Agreement
If the debt is valid, and you’re willing to pay, consider offering a pay-for-delete deal. This means you agree to pay (in full or in part) in exchange for FRS removing the collection from your credit report. Not all agencies agree to this, but it’s worth asking—get it in writing before sending any money.
Work With a Credit Repair Professional
If you’d rather not handle this on your own, you can hire a credit repair company. Firms like Credit Saint specialize in disputing inaccurate or outdated negative items, including collections from agencies like FRS.
They’ve helped many clients clean up their credit reports and improve their credit scores over time. Visit their website or call (855) 281-1510 for more details.
Ready to Clean Up Your Credit Report?
Learn how credit repair professionals can assist you in disputing inaccuracies on your credit report.
Should You Pay Financial Recovery Services?
Only after confirming that the debt is accurate and valid. Don’t rush to pay just to stop the calls—doing so can restart the statute of limitations in some states, making it easier for FRS to sue you. If the debt is old or legally uncollectible, you may not be required to pay it.
Start by validating the debt, then explore your options. If the debt is legitimate and still within the legal collection period, paying it (especially through pay-for-delete) may help you move on.
Can Financial Recovery Services Sue You or Garnish Your Wages?
Yes, debt collectors can take legal action if you owe a valid debt. If they sue you and win, they may be able to:
- Garnish your wages
- Freeze your bank account
- Place a lien on your property
But not every case goes to court. Lawsuits are more likely for larger balances, and FRS has to follow specific legal procedures. If you receive a court summons, don’t ignore it—respond by the deadline or consult an attorney.
What to Do If You’re Being Harassed by Financial Recovery Services
If you’re getting excessive calls, threats, or feel you’re being treated unfairly, take action. Many consumers file complaints with:
- Consumer Financial Protection Bureau (CFPB)
- Better Business Bureau (BBB)
- State Attorney General’s Office
You can also send a cease and desist letter to stop the calls. Keep records of all communication in case you need to prove harassment or violations.
Your Rights Under the FDCPA and FCRA
Debt collectors must follow strict rules under federal law:
- You have the right to request debt validation – If they can’t prove you owe it, they can’t collect.
- They cannot harass you – No threats, profanity, or repeated calls.
- They must tell the truth – They can’t pretend to be attorneys or government agents.
- They can’t misrepresent the debt – That includes the amount or legal consequences.
- You can dispute the debt with the credit bureaus – If it’s inaccurate or incomplete, you can request its removal.
These protections come from the Fair Debt Collection Practices Act (FDCPA) and the Fair Credit Reporting Act (FCRA). If FRS breaks these rules, they can be held accountable.
Contact Information for Financial Recovery Services
Here’s how to reach them:
Financial Recovery Services, Inc.
69 N 28th St Ste 203
Superior, WI 54880
4510 W 77th St Ste 200
Edina, MN 55435
Phone: (866) 438-2860 | (715) 392-4512 | (952) 831-4800
Final Thoughts
Dealing with Financial Recovery Services doesn’t have to ruin your credit for years. Whether the debt is accurate or not, you have options—like disputing errors, requesting validation, or negotiating a pay-for-delete.
The key is taking action sooner rather than later. The longer a collection sits on your credit report, the more damage it can do. Don’t be afraid to ask for help if you need it. Getting expert support can make the process faster, easier, and a lot less stressful.
