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Misleading or Confusing Debt Collection Letter

Debt Ball and Chain

Under the Fair Debt Collection Practices Act (FDCPA), the contents and wording of debt collection letters are crucial. Not only must statements be true; they must also avoid “overshadowing” information that is important to informing consumers of their rights under the law. The complaint for this class action claims that the letter sent by Cavalry Portfolio Services, LLC overshadowed its statement of the consumer’s right of validation of the debt by threatening to report the debt to credit agencies.

Papers on Clipboard Saying "Debt Collection"

Consumers cannot be sued for most of their debts forever. At some point, debts for personal, family, or household uses become time-barred and creditors can no longer take them to court to recover the money owed. The exact length of time it takes for a debt to become time-barred varies from state to state. The complaint for this class action alleges that debt collector Transworld Systems, Inc. tried to collect a debt without mentioning to the consumer that the debt was time-barred, in violation of the Fair Debt Collection Practices Act (FDCPA) and the Florida Consumer Collection Practices Act (FCCPA).

Debt Ball and Chain

The Fair Debt Collection Practices Act (FDCPA) intends to protect consumers by making the terms of their debts as clear as possible. To this end, it sets forth detailed requirements about how things can be stated. The complaint for this class action claims that the debt collection letter received by plaintiff Jaroslaw T. Wojcik violates these requirements by making the amount of debt unclear, by using the term “current balance” without making clear whether the balance will change or not.

Pile Made of Repetitions of Word DEBT

Did a debt collection firm use the name and letterhead of a related law firm to try to collect a debt because consumers are more intimidated by law firms? The complaint for this class action protests against the use of Levinbrook Law Firm, PC stationery and name to collect a debt assigned for collection to Middle Country Collection Services, Inc. It claims that the use of the law firm name is deceptive and misleading, in violation of the Fair Debt Collection Practices Act (FDCPA). 

Person Buried Under Letters D-E-B-T

Why would a debt collection company claim that they have “just received” an account, even after sending numerous messages about it, or refer to conversations that had not taken place? The complaint for this class action provides a possible explanation in the company’s use of automation to compose and send messages, but nonetheless finds the communications violate the Fair Debt Collection Practices Act (FDCPA).

Money Being Passed from Hand to Hand

The complaint for this class action alleges that the debt collection letter sent out by Choice Physicians Billing, Inc. is deficient on several accounts and does not satisfy the requirements of either the Fair Debt Collection Practices Act (FDCPA) or the Florida Consumer Collections Practices Act (FCCPA). Among other things, the letter does not warn the recipient that at least a portion of the debt is stale and cannot be legally enforced.

Past Due Bill

One of the aims of the Fair Debt Collection Practices Act (FDCPA) is clarity for the consumer debtor. However, the complaint for this class action claims that debt collector DeVille Asset Management, Ltd. sowed confusion for plaintiff Sedrick Woods in its collection letter by both giving him notice of the thirty-day validation period and demanding payment within the same thirty days. 

Person Buried Under Letters D-E-B-T

Among the most important things for a debtor to know is the amount of the debt, and whether that amount is still increasing via the accrual of interest, late charges, and fees. The complaint for this class action claims that Financial Recovery Services, Inc. failed to make this clear in its debt collection letter to Mabel Reyes, in violation of the Fair Debt Collection Practices Act (FDCPA).

Figure Carrying Letters D-E-B-T on Its Back

The Fair Debt Collection Practices Act (FDCPA) contends that consumers cannot make the best decisions about how to handle debts unless they receive clear, truthful, and unambiguous information. The complaint for this class action alleges that an attorney did not provide accurate or truthful information about the amount of a debt he was attempting to collect by not informing the debtor that the amount of the debt was increasing daily.

Debt Papers with "Final Notice" in Red

One of the most important provisions of the Fair Debt Collection Practices Act (FDCPA) is that collections agencies must inform consumers of the amount of their debt, without ambiguity or deception. The complaint for this class action claims that a letter from Global Credit & Collection Corporation fails to do this in citing a “Current Balance” without making clear whether that balance might or might not change.

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