HFC / HSBC Cardholder Services Fraud, Breach of Contract, Not-Cooperative in Handling Consumer Inquiries, Wrongful Record Keeping, Internet

In 2006 my husband and I entered into a debt consolidation mortgage with HFC, an affiliate of HSBC.  As part of the mortgage, we wanted to close a GMCard/HSBC card.  This is in the settlement page of our mortgage;  HSBC, NV in the sum of $6,216.67.  We signed the check and a letter paying this account off in full and closing the account.  We left the letter and check with our HFC representative for processing with HSBC.

Was notified in 2009 that I was being sued for this GM/HSBC credit card.  HFC assured us the account was paid in full and processed correctly.  GM/HSBC Cardholder Services showed no account under my name at this point in time. Debt collector said we owed this debt, only now it was for $13,000+.

Went to court in 2009, being sued by Harvest Credit/Timothy Baxter,  because we couldn't get this settled prior to court date.  Went to court, Traci Kern, attorney for Harvest Credit did not show up. We received dismissal from court house.  Judge dismissed without prejudice.  Not sure why, if I didn't show up, I would have had a judgement against me as default. 

Been trying since then to get the solved.  Was notified again in November 2011, that I was being sued again for this same credit card, only now the debt is almost $20,000. 

Went to pretrial on January 5, 2012.  Found out that HSBC pulled my debt for this card FROM the HFC Debt Consolidation mortgage for non-payment and sold it as a Charge-off to Harvest Credit on June 30, 2008.  What???? I have been paying on this mortgage for almost 6 years.  How could they do this legally? And why am I just finding this out now?

HFC assures me the debt was paid, but is unwilling to put anything on their letter head stating such. HSBC told me they never received my payment for this account and to do an HSBC  charge-off dispute because it shouldn't have been charged off, still haven't heard anything from HSBC Cardholder Services.

HSBC Cardholder Services - summary:  They stated that they had not received payment for their credit card.  Took the debt from the consolidation loan for non-payment and sold it as bad debt.  Never told me that they were doing this, where's my money?

They won't send me copies of payments that they say were made by me against this account.  In fact, no one will put anything in writing or give me answers or send me documentation.  Tell me they only keep information for five years.  In fact, now when I call I am transferred and transferred and transferred again until I get a recording that "no one is available to take your call, please call back." 

Unfortunately, when you call their customer service number I don't believe you are even speaking with someone in the United States. 

I can't even get a physical address for HSBC Cardholder Services.  I filed complaint with Attorney General - Michigan, Better Business Bureau and Federal Trade Commission.  Don't know where else to turn.  Any help would be appreciated. 

Would be willing to join class action against HSBC, breach of contract, embezzlement, .  In reading reports, there are several cases out there and there are power against big banks in numbers.