Complaints

The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

• Initial Complaint

  Date:10/23/2024

  Type:Order Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Dear Better Business Bureau,I am writing to formally report an ongoing issue with Factor Tek and their unauthorized contract renewal and filing related to my business, *****************. Despite my repeated attempts to communicate that I do not wish to continue any contract with them, they have repeatedly renewed an agreement and have filed a *** (Uniform Commercial Code) lien against my company without my consent.Summary of the Issue Contract Information Factor Tek claims that Filing Number X22033464-5 was submitted with the Iowa Secretary of State on April 5, 2022, in connection with a Factoring Agreement. The agreement was for a 6-month term with an auto-renewal clause, and Factor Tek claims it was automatically renewed, with a new expiration date of October 5, 2023.Unauthorized Actions From the very first moment I was informed of this contract, I made it explicitly clear that I do not wish to continue any business relationship with Factor Tek. However, my requests were ignored, and Factor Tek renewed the contract without my consent. In addition, they filed a *** lien against my company without proper documentation or communication. Attempts to Resolve I have contacted Factor Tek multiple times to express my desire not to continue or renew the agreement. Unfortunately, they have failed to acknowledge or act on my requests and have not removed the contract or *** filing.Request for Resolution I am requesting the BBBs assistance in resolving this matter. Specifically, I request the following:1. Immediate termination of any agreements between ***************** and Factor Tek.2.Removal of any UCC filings or liens associated with my business.3.Written confirmation from Factor Tek that no further action will be taken without my explicit consent.Attached are relevant documentation and communication records to support my claim.Thank you for your time and attention to this matter. I hope for a swift and fair resolution.

  

  Business Response

  Date: 10/24/2024

  Dear Better Business Bureau,
  We acknowledge the complaint submitted by ****************** and would like to provide our formal response. Factor Tek has operated within the framework of the signed contract and all actions taken have been in compliance with the agreement entered into by both parties on April 5, 2022.
  1. Contractual Agreement and *** Filing
  The agreement between ****************** and Factor Tek, signed by Mr. **** ****** on April 5, 2022, included an automatic renewal clause for additional six-month periods unless either party provided written notice 60 days prior to the termination date. This was clearly outlined in Section 11 of the agreement. ****************** did not submit a formal written notice requesting termination before the auto-renewal of the contract, which resulted in the renewal of the agreement with a new expiration date of October 5, 2023.
  Regarding the *** filing, Factor Tek was authorized under Section 5 of the agreement to file a ***-1 financing statement as part of the security interest provided in the factoring relationship. The contract expressly grants Factor Tek a first-priority security interest in all of ******************* assets, including accounts receivable, which allows Factor Tek to file a *** lien. This action is standard and permissible under the signed agreement.
  2. Communication and Attempts to Resolve
  On April 2023, we communicated with Mr. **** ******, where we informed him of the signed agreement. Subsequently, on June 1, 2023, at 6:33 PM, a formal email was sent to ************************* attaching a complete copy of the agreement signed by Mr. ******* In this email, we specifically directed attention to page 29, where the signature of Mr. ****** is clearly visible. The email also included an offer to discuss the terms of the agreement and explore potential options for resolution.
  Despite this, ****************** has not provided the requested written termination notice in compliance with Section 11 of the agreement. Instead, verbal or email correspondence has been inconclusive in formally terminating the agreement.
  3. Termination and Waiver of Fees
  While Factor Tek reserves the right to charge a termination fee as per Section 18 of the agreement, which specifies that a fee equal to 10% of the Facility Amount may be charged for early termination, we are willing to waive this fee as a goodwill gesture. Additionally, we will authorize ****************** to file a termination of *** Filing No. X22033464-5, or allow them to appoint a third party to do so, to avoid any further inconvenience.
  Conclusion
  Factor Tek has acted in accordance with the contract signed by both parties, including the automatic renewal and *** filing provisions. To avoid unnecessary back-and-forth and to amicably resolve the situation, we have decided to waive the termination fee and have provided authorization for the *** termination. We hope this resolves the matter swiftly and fairly.
  Should you need any further documentation or clarification, please do not hesitate to contact us.
  Sincerely,

  ********* Villamizar   
  Chief Operating Officer
  *********************************************************
  **************************
  *****************************. *****, FL 33122

  Customer Answer

  Date: 10/24/2024

   
  Complaint: 22466488
  
  I am rejecting this response because:
  

  Form 04 /05/2023  now 

   

  Dear Factor Tek,

   

  I am writing to once again formally notify you that my company, *****************, no longer requires your services and does not wish to continue any form of business relationship with Factor Tek. I have previously made multiple requests for the termination of all agreements between our companies, starting from 04/ 15/2023, yet your business has continued to engage with mine against my explicit wishes.

   

  I have contacted you more than 40 times via email, text, and formal letters, requesting the cessation of all business dealings. Despite these efforts, I have received no adequate response, and your continued engagement has caused significant harm to my business, both financially and reputationally.

   

  Please consider this message a final request for the immediate termination of any and all agreements and obligations between REMIS *********** and Factor Tek. I also request confirmation that all necessary steps have been taken to close our account and resolve any outstanding *** filings or other obligations.

   

  I expect a prompt response and the swift resolution of this matter. Failure to comply with this request may result in legal action to protect my companys interests.

   

  Thank you for your immediate attention to this issue.

   

  Sincerely,

  **** ******

  ***** ***********

   

   

   

  
  Sincerely,
  
  **** ******

  

  Business Response

  Date: 10/24/2024

  Dear Better Business Bureau,
  We acknowledge the recent rejection of our previous response submitted by ***************** and would like to provide further clarification.
  Factoring Agreement and Clients Signature:
  As previously stated, ***************** signed a valid Factoring Agreement with Factor Tek on April 5, 2022, which included an auto-renewal clause. We have provided the client with a copy of this signed agreement on Thursday, June 1, 2023, at 6:36 PM, via email to ************************* The agreement clearly shows **************** signature, and the email includes a full copy of the contract for his reference.
  Recent Claims by the Client:
  The client has now provided what they claim is a communication from April 5, 2023, and a signed document from April 15, 2015. These claims are not relevant, as the contract in question was signed on April 5, 2022. The supposed documents provided by the client do not align with any valid communications regarding this agreement, and we have not received any substantiated communication from the client regarding these supposed dates.
  Previous Clarifications:
  In our previous response, we clearly outlined that Factor Tek does not wish to enforce the agreement on this client, despite being legally entitled to do so. We have complied with all requests to provide copies of the contract and made efforts to engage in a productive conversation with the client. We also extended an offer to schedule a discussion regarding their options, but the client never provided any constructive feedback.
  Termination and Goodwill Gesture:
  While Factor Tek reserves the right to charge a termination fee as per Section 18 of the signed agreementequal to 10% of the Facility Amountwe have voluntarily waived this fee as a gesture of goodwill. We have no further interest in pursuing this matter and have officially terminated *** Filing No. X22033464-5. A copy of the termination has been attached, and we request that this be provided to ******************
  Final Resolution:
  Factor Tek has taken every reasonable and professional step to address the clients concerns, including waiving fees, providing documentation, and now terminating the *** filing. At this point, we request that this matter be closed, and ***************** cease any further communication and demands with Factor Tek, as we consider this issue fully resolved.
  Should the client persist in making unfounded claims, Factor Tek reserves its right to pursue all appropriate legal avenues to protect its interests.
  We trust that this clarification, along with the termination of the *** filing, will bring this matter to a close.
  Sincerely,

• Initial Complaint

  Date:04/18/2023

  Type:Service or Repair Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Todas las semanas tengo problemas con mi pago, por razones que ellos sabrn, envo mis documentos requeridos antes de las 12 para mi pago al siguiente da y en la semana tengo ms ******* que las que cumplen. Son atentos y amables hasta que firmas el contrato despus tienes alguna queja y no contestan el telfono, en resumen nadie da el frente al problema y no hay a quien reclamarle, estoy aqu obligado por el contrato por ahora hasta que termine. Le escribo a la persona que me atiende para alertarlo que los documentos se enviaron temprano para su pago el siguiente da, y ni as cumplen con su trabajo, llamo y de ninguna forma contestan, ni me responden por ejemplo los documentos ****** enviados en horas tempranas antes d ellas 12, ya para maana no lo van a pagar y ya, no pasa ***** les pregunto porque motivo no cumplen con su trabajo adecuadamente, educadamente, respetuosamente, y profesionalmente como prometieron antes de firmar el contrato, yo personalmente **** LE RECOMIENDO ESTA COMPAA A NADIE es una falta de respeto total lo que hacen con mi trabajo y mi dinero

  

  Business Response

  Date: 04/26/2023

  Cordial saludo, *****************,de acuerdo con la conversacin telefnica sostenida con nuestro director de Operaciones y de Servicio al cliente, se realiz la revisin exhaustiva de todas las facturas enviadas para pago. Dando cumplimiento a nuestra promesa de servicio se realizaron los ajustes pertinentes el mismo da de recepcin de su retroalimentacin para garantizar una comunicacin directa y a tiempo. Como compaa FACTORTEK se diferencia por el servicio al cliente personalizado, con este propsito se brinda informacin alternativa de contacto y se procede a implementar los cambios acordados. Agradecemos el tiempo tomado para tomar nuestra llamada, para nosotros su experiencia es lo ms *****************

• Initial Complaint

  Date:10/28/2022

  Type:Order Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I signed the contract back with this company in March 2022. I asked to be released from the contract in June 2022 because most factoring companies are 90 days. I was told I was under a 6-month contract and I had to stay in the contract so I said okay. This company has given me the runaround about getting factoring for my company where they pay for my loads daily. This has not been done and it's putting my small business in jeopardy. I'm spending a lot of money out of pocket versus the money I make for my company because I chose to use this company as a factory company. They have yet to factor any of my loads and my contract was up in September 2022. I tried to get in contact with someone there to see was my contract up and this person told me that I was still under contract and I was trying to figure out how. Thinking I didn't have another choice I said let me factor with them. Prior that I asked them several times to send me a release letter and to release my company from under their *** lien. As I reread my contract I saw that it was a automatic renewal contract. However I have not done any Financial business with this company I have not received one red Cent from them and they haven't received a red sent from me. I would like for them to release me and release the *** line so that I can find a more honorable company a company that's been around longer and know how to handle Factoring before I lose my business dealing with them. If they do not let me out of this none existing contract I begin to take legal actions which is what I'm trying to avoid I have sent them several emails with no response I have called several times with no response Ive email several times with no response.

  

  Business Response

  Date: 11/08/2022

  We appreciate that you took the time to provide us with this feedback, and we are sorry to read that this situation has jeopardized your small business, given the efforts that we both have invested in making your business grow.
  
  We have tried contacting you for the past 6 months to resolve all the issues before the first payment. However, we are still waiting for the broker to reply so we can process the payment; since, as you know, the first broker setup can take up to 72 hours. On the other hand, the loads uploaded had no Rate Confirmation, which was imperative to start the corresponding process. Additionally, we have tried to reach you on various occasions, and the invalid email addresses that you, later on, informed us you were using to contact us, hindered our communication even more. 
  
  We also reviewed your request to terminate the agreement and remove the *** as soon as we received it; nonetheless, upon verification, we did not receive any notification from your end prior to the 60-days period to end the mutual agreement. Furthermore, we audited the communications between you and the person from our team in charge of providing you with personalized assistance, and we found out that he had given you the same information.
  
  We understand your concerns about our company being new in comparison, but those of us who are part of it have been serving in the industry for several years. To conclude, we would like to inform you that the corresponding release letter was sent on 02-11-2022 accordingly to your request; we are sorry that you do not want to be part of our company anymore. Nevertheless, we sincerely wish you the best for you and your business and know that our doors will always be open.

  Customer Answer

  Date: 11/08/2022

   
  Complaint: 18329856
  
  I am rejecting this response because: Everything in the response isn't true.  I was very clear about wanting to terminate my my relationship with this company. The *** was never removed by this company although I paid determination fee that they ask me to pay. I read I had to *** remove myself I had to pay for that out of my own pockets. This company has cost me a lot of money because they had this *** filed and under my company. I couldn't get with another factoring company because of a *** filing done by FactorTek. However they never factored one load for me they never gave me any money on my company and  yet they refused to remove it. I have the emails to prove everything that I'm speaking about. I would like my money back that I paid to have this relationship terminated in the *** removed by this company because they didn't follow through with the contract that we made to  have me release from this company and proof of the *** being removed. Their worker ************************* was beyond rude and condescending.

  
  
  Sincerely,
  
  ***************************

  

  Business Response

  Date: 11/10/2022

  We, as all factoring companies do, provide the client with the release letter, but only the government entities responsible can remove the ***.
  
  The release letter was sent to you within the next 5 hours after the payment confirmation.
  
  We are sorry to hear that the *** is taking so long to be removed. However, we all must comply with the TATs established by the corresponding governmental authorities.  When contacted by other factoring companies (*************** and Century Finance) asking us if they could move ahead on the purchase of your invoices, we always confirmed that they could do it. We also advice you to contact the factoring companies Tafs and *****************, and ask them to remove the **** they have on your company.
  
  Since your desired settlement is to be released from the contract, we fulfilled this by sending you the release letter accordingly.