Have you been contacted by Vox Funding about an outstanding merchant cash advance debt? It’s important to understand your rights when you’re working with a funder, debt collector or lender. Here’s how to proceed if you’re contacted by Vox Funding and how a debt relief attorney can help.
Who is Vox Funding?
Vox Funding is a business lender that provides alternative financing to businesses that need cash flow quickly also called Merchant Cash Advances. Vox Funding was founded in 2018 and is headquartered in New York.
Is Vox Funding Legitimate?
Vox Funding is a legitimate company that provides alternative funding to businesses. It offers business funding opportunities like merchant cash advances (MCAs) and invoice purchasing.
That being said, there are some inherent risks that come with MCAs, which can put borrowers at risk. Additionally, because Vox provides fast funding, including to small business owners with poor credit, and high costs there may be an increased chance of default.
If you’re unsure about working with a business lender, even a legitimate one, it’s important to read past customer reviews and complaints to get an idea of its business practices.
Overview of Vox Funding
Vox Funding is a business lender that specializes in providing fast funding. It provides primarily MCAs and invoice purchasing (this is when the lender buys your invoice and you pay them back with your receivables). Vox’s funding mechanisms are unique because rather than being based on creditworthiness, your eligibility is based on your unpaid invoices or future business revenue.
Vox Funding offers funding ranging from $10,000 to $1 million to businesses with at least 12 months in operation and at least $100,000 in annual gross sales. Funding approval is available in as little as 24 to 72 hours.
Vox Funding Reviews and Complaints
Vox Funding doesn’t have many past customer reviews, so it’s difficult to get an idea of how the company is to work with. The company has three reviews with the Better Business Bureau, with an average rating of 2.33 out of 5 stars. And it has six reviews with Trustpilot, with an average rating of 3.9 out of 5 stars.
Vox doesn’t currently have any complaints from customers with the Better Business Bureau or the Consumer Financial Protection Bureau (CFPB).
Understanding How Vox Funding Operates
As a lender of MCAs and invoice purchasing, Vox Funding essentially operates by helping you create working capital in your business by borrowing against your future revenue. In the case of MCAs, the company provides the business owner with an upfront sum of their future receivables, which the business will eventually pay back when they bring in that revenue.
Invoice purchasing, on the other hand, involves Vox Funding buying invoices from its customers. The business gets 85% of the invoice’s value upfront, followed by some of the remaining amount later on to pay back Vox (with Vox keeping some of the money).
Both of these types of financing are common. However, they can also lead to debts the borrower can’t repay. For example, in the case of MCAs, the loan is secured by future revenue. If that revenue doesn’t come to fruition, you could struggle with repayment of your debt. Additionally, because Vox Funding doesn’t base its loans on creditworthiness, it could increase the chances of default.
Dealing with Vox Funding
What Should I Do If I Receive a Lien or Lawsuit from Vox Funding?
If you receive a letter or phone call from Vox Funding, you should first make sure the communication is legitimately from Vox. Unfortunately, merchant cash advance funding is an industry that’s often the target of scams, so it’s important to protect yourself.
Start by examining the email or letter (or reviewing the information from the phone call) to make sure it’s the same as what’s on Vox’s website, including the phone number, email address, and mailing address. You can also call Vox directly to ensure the communication is from them.
If the communication is legitimate, review what it says. If Vox is contacting you to collect an unpaid debt, it’s important to understand what they’re claiming you owe. You should also contact Vox to request a written validation of the debt.
Handling Communications from Vox Funding
Make sure to keep thorough records of your communications, including copies of all letters and emails, and comprehensive notes of all phone calls. These records could be essential for future legal dealings with Vox.
Knowing Your Rights Against Vox Funding
As a borrower, you have certain rights when dealing with Vox Funding or any other lender or debt collector. Here are a few rights you should know about:
- Right to transparency: You have the right to transparent information about the terms and conditions of your debt with Vox Funding, including the remaining balance and any fees.
- Right to fair treatment: Vox Funding and other lenders have a responsibility to treat you fairly, without misleading or deceptive practices and without discrimination.
- Right to recourse: If you believe Vox Funding has violated your agreement or treated you unfairly, you have the right to file complaints with official channels and seek legal recourse.
- Right to legal representation: You have the right to have an attorney represent you in your dealings with Vox Funding. You can hire an attorney at any time, no matter how early or late in your dealings with the lender.
The Legal Side of Vox Funding
Common Legal Issues with Vox Funding
Common issues with merchant cash advance companies like Vox Funding could include disputes over the terms outlined in the agreement, difficulty meeting the payment terms, and problems with unethical collection practices.
MCAs aren’t necessarily regulated the same way as other loans. As a result, there’s more room for legal issues to arise. And if a business can’t repay the monies, whether as a result of predatory actions or something else, Vox Funding may take legal action.
What Happens If You Get Sued by Vox Funding
If you get sued by Vox Funding, it’s important to take the appropriate steps to ensure the best outcome. Here’s a step-by-step guide of the lawsuit process:
- Receive the complaint: The first step of a lawsuit is that you’ll receive a legal complaint against you, which outlines Vox’s claims.
- Review the documents: Once you receive the complaint, it’s important to carefully review the documents to ensure you understand why you’re being sued.
- Seek legal advice: It may be a good idea to enlist the help of an MCA debt relief attorney to represent you in your dealings with Vox Funding.
- Respond to the complaint: After you receive your complaint, you’ll have to respond within a certain period, often 20 to 30 days, or risk a default judgment against you.
- Discovery: During the discovery process, both parties exchange relevant information about the suit. Make sure to keep thorough records for this step.
- Settlement negotiations: Many lawsuits are settled before they ever reach a judgment, and that could be the case in your dealings with Vox.
- Trial: If you can’t come to a settlement agreement, the MCA lawsuit will go to trial, where you’ll have to defend your case.
- Judgment: The trial concludes with a decision from the judge. You may have a judgment issued against you, which outlines how much you’ll have to pay.
How to Negotiate with Vox Funding
Check to Make Sure Vox Funding Isn’t a Scam
Before negotiating your debt with Vox, make sure the communications you received aren’t a scam. While Vox is a legitimate company, you could receive a letter from someone else claiming to be Vox, hoping you’ll pay them. The debt collection industry is commonly targeted by scams, so it’s important to take steps to protect yourself. Always verify the sender and the debt before proceeding.
Strategies for Negotiating with Vox Funding
If you’re hoping to avoid a lawsuit or UCC liens, then your best bet is to negotiate with Vox to come to an agreement about your MCA debt. Going into your negotiations, it’s important to plan ahead for your ideal outcome. Have a dollar amount in mind that you know you can afford to pay.
Next, gather all of your documentation, including your initial documents, any correspondence with Vox throughout your loan term, and any communication about your debt since then.
Finally, be professional in your dealings with Vox Funding. If you’re working with an MCA debt help attorney, they will communicate with Vox on your behalf. However, if you’re representing yourself, it’s still important to remain polite and professional.
Once you’ve come to an agreement with Vox, get everything in writing and review the document carefully to make sure you fully understand the terms. And once you finalize the deal, it’s important to follow through on your part, including making any agreed-upon payments.
How to Protect Against Vox Funding
Steps to Take If You’re Contacted by Vox Funding
To protect yourself against Vox Funding, it’s important to take the right steps if the company contacts you about a debt. Here are the first few steps you’ll want to take if you receive any communications:
- Ensure the communication is from Vox: Whether it’s a letter or a phone call, you can ensure it’s legitimate by comparing the information to that on Vox’s website or by contacting Vox directly.
- Request validation of the debt: If you request it, Vox must provide you with written validation of your debt, which you can compare to your own records.
- Proceed with your next steps: In many cases, your next step may be hiring an attorney who specializes in MCA debt to communicate with Vox on your behalf. But if you’ve already received a lawsuit from Vox, it’s important to act quickly.
Filing a Complaint Against Vox Funding
If you believe Vox Funding has violated your rights or treated you unfairly, you have the right to file a complaint against the company. You can file complaints through the following channels:
- Federal Trade Commission
- State Department of Finance or Banking
- State Attorney General’s
- Consumer Financial Protection Bureau (CFPB)
- Better Business Bureau (BBB)
Vox Funding Phone Number and Address
You can reach Vox Funding using the following contact methods:
- Phone: 212-547-7976
- Toll-Free: 800-614-8799
- Fax: 212-504-2620
- Email: support@voxfunding.com
You can also find Vox Funding at the following addresses around the U.S.:
- New York: 100 Park Ave, 31st Floor, New York, NY, 10017
- Philadelphia: 100 E Penn Square, Suite 400, Philadelphia, PA 19107
- Charleston: 170 Meeting St, Suite 315, Charleston, SC 29401
- Miami: 1395 Brickell Avenue, Suite 800, Miami, FL 33131
How Can a Debt Settlement Attorney Help?
If Vox Funding is pursuing an unpaid debt from you through a lawsuit or other means, you can enlist the help of an MCA debt relief attorney. An attorney who works with Vox and other MCA creditors can help facilitate your communications with Vox, handle your negotiations, and represent you in court, if it comes to that.
Tayne Law Group offers a free phone consultation with one of our experienced debt relief team members who may be able to help you. Contact our offices by calling (866) 890-7337 or fill out our short contact form. We never share or sell your information, and all conversations are always confidential.
FAQs
What Does Vox Funding Do?
Vox Funding offers alternative financing for businesses, primarily in the form of merchant cash advances and invoice purchasing.
Are Merchant Cash Advances Legal?
Yes, merchant cash advances are legal. However, they aren’t regulated the same way as other business loans, and could be risky for the borrower. It’s important to proceed with caution before taking out a merchant cash advance.
What Happens If You Don’t Pay Back a Merchant Cash Advance?
If you don’t repay your merchant cash advance, the lender could take legal action and seek a judgment against you to recover the payment.
