If National Credit Adjusters (NCA) has appeared on your credit report, a 2018 CFPB enforcement action is the most important context.
The CFPB found NCA used a network of third-party collectors to pursue consumer debt. Those collectors threatened consumers and family members with arrest, process servers, and lawsuits. NCA continued placing debt with those companies with full knowledge of their illegal tactics.
NCA paid $500,000 in penalties. Their former CEO was permanently barred from working in any business involving consumer debt. This guide covers who NCA is, what the consent order means for you, and how to respond.
Who Is National Credit Adjusters?
National Credit Adjusters, LLC (NCA) is a debt buyer and collection agency founded in 1959 and reorganized in 2002, headquartered in Hutchinson, Kansas. The company employs approximately 200 people and generates about $21.6 million in annual revenue.
NCA purchases portfolios of defaulted consumer debt, particularly from online lenders and installment loan companies. Once they own the debt, they collect on their own behalf or through third-party collection networks.
NCA has accumulated 1,072 CFPB complaints and 148 BBB complaints. They are not licensed to collect in every state.
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The 2018 CFPB Consent Order
The CFPB found NCA orchestrated a network of third-party debt collectors to pursue consumers on NCA’s behalf.
Those collectors told consumers they owed more than they legally owed. They threatened consumers and family members with lawsuits, visits from process servers, and arrest. They had no legal authority to take any of those actions.
NCA knew about these illegal tactics and continued placing debt with the same collectors anyway. They also sold consumer debt to at least one of those collectors with reckless disregard for how it would be collected.
Under the consent order, NCA paid $500,000 in civil penalties. Their former CEO Bradley Hochstein paid $300,000 and was permanently barred from any business that collects, buys, or sells consumer debt.
If any NCA-affiliated collector has threatened you with arrest, a process server visit, or a lawsuit they have not filed, those threats are documented consent order violations. File a complaint at consumerfinance.gov immediately.
The NYC and Arkansas State Actions
New York City specifically named NCA the “worst offender” among 23 debt collectors fined for illegally collecting high-interest payday loans in New York. NCA paid over $900,000 in NYC fines.
The Arkansas Attorney General called NCA’s practices “usurious and unconscionable” for attempting to collect over $2 million in payday loans and high-interest installment loans that were illegal under Arkansas law.
If NCA is pursuing you for a payday loan or high-interest installment loan, verify whether that type of loan was legal in your state at the time it was originated. Payday loans are prohibited or heavily restricted in many states. Collecting on an illegal loan is itself a violation.
Not Licensed in All States
A documented BBB complaint describes a consumer who discovered NCA was not licensed to collect consumer debt in Alabama. Debt collectors are required to hold a valid license in most states where they collect.
Before engaging with NCA, verify that they hold a current collection license in your state. Your state’s attorney general or banking regulator maintains a searchable database of licensed collectors.
Continuing to Report After Failing to Validate
A documented 2025 BBB complaint describes a consumer who sent NCA a written validation request and also filed a CFPB complaint. NCA failed to respond to the CFPB complaint within the required timeframe. NCA also failed to provide any of the requested validation documents.
Despite both failures, NCA continued reporting the account to credit bureaus.
Under the FDCPA and FCRA, a collector who cannot validate a debt must cease collection activity and cannot continue reporting the account. Continuing to report an unvalidated account after receiving both a consumer validation request and a CFPB complaint is a specific documented violation.
If NCA fails to validate your debt within 30 days of your certified letter, file a CFPB complaint and dispute the credit bureau entry simultaneously. Note explicitly in both that NCA failed to validate within the required period.
The Gift Card Payment Demand
A documented consumer complaint describes NCA requesting payment via gift cards. This is not a legitimate debt collection payment method. Legitimate debt collectors accept checks, bank transfers, or credit card payments.
If anyone claiming to be NCA demands payment by gift card, money order to an individual name, or wire transfer, that contact may be a scam impersonating NCA. Verify independently before sending any money.
What NCA Cannot Do Under Federal Law
The FDCPA and the 2018 CFPB consent order apply to NCA. Under these laws, they cannot:
- Threaten arrest, process server visits, or lawsuits they do not intend to file: The centerpiece of the 2018 CFPB enforcement action.
- Collect amounts consumers are not legally required to pay: A specific CFPB finding.
- Continue reporting after failing to validate a debt: A documented 2025 BBB complaint.
- Collect on illegal payday loans: Documented in NYC and Arkansas state actions.
- Operate without a valid state collection license: Documented in an Alabama BBB complaint.
- Demand payment via gift cards: A documented consumer complaint pattern.
File complaints at consumerfinance.gov and with the Kansas Attorney General’s Consumer Protection Division at (800) 432-2310.
Verify the Debt Before Paying Anything
Send a written debt validation request by certified mail within 30 days of first contact. Ask for the original creditor, the original loan type, the balance at time of purchase, and NCA’s license to collect in your state.
For payday loans and high-interest installment loans, also ask for the original loan terms and interest rate and verify whether that loan product was legal in your state.
How to Check Your Credit Report for NCA Errors
Pull your credit reports from all three bureaus at AnnualCreditReport.com. Is the original creditor identified? Is the loan type one you recognize? Is any amount above what you originally borrowed?
Any inaccuracy, including a balance higher than what you legally owed, is grounds for a dispute with each credit bureau.
How Long Can NCA Legally Pursue the Debt?
Kansas has a 5-year statute of limitations on most consumer debts. The relevant state is typically where you currently reside.
For payday loans originated in other states, also check that state’s statute of limitations and whether the loan type was legal there.
Your Options for Resolving an NCA Account
Once you have verified the debt:
- Verify state licensing first: If NCA is not licensed in your state, they may not be legally authorized to collect.
- Check loan legality: If the debt traces to a payday loan in a state that prohibits them, the underlying debt may not be collectible.
- Demand full validation before engaging: NCA’s documented pattern of failing to validate makes certified mail and a simultaneous CFPB complaint the most effective approach.
- Negotiate a settlement: NCA does settle as a debt buyer. Get any agreement in writing before paying.
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How to Contact National Credit Adjusters
Handle all communication in writing:
- Address: National Credit Adjusters, LLC, 327 W 4th Ave, Hutchinson, KS 67501
- Mailing address: PO Box 3023, Hutchinson, KS 67504
- Phone: (888) 768-0674
Bottom Line
National Credit Adjusters paid $500,000 in CFPB penalties after their collector network threatened consumers with arrest and process servers. Their former CEO is permanently barred from the debt collection industry.
Verify their state license, check whether the underlying loan was legal in your state, and demand full validation before paying anything. File a CFPB complaint immediately if NCA fails to validate or continues reporting an unverifiable account.
Brooke Banks is a personal finance writer specializing in credit, debt, and smart money management. She helps readers understand their rights, build better credit, and make confident financial decisions with clear, practical advice.