Receivables Performance Management Facing Another FDCPA Class Action
Last Updated on May 8, 2018
Fekete v. Receivables Performance Management, LLC
Filed: November 25, 2016 ◆§ 1:16-cv-06554
A class action filed last week in New York claims Receivables Performance Management, LLC ran afoul of federal debt collection laws.
New York
A class action filed last week in New York claims Receivables Performance Management, LLC ran afoul of federal debt collection laws by falsely implying in a collection letter that a proposed settlement was a “limited time offer.”
Under the Fair Debt Collection Practices Act (FDCPA), it is unlawful to make a “threat to take any action that cannot legally be taken or that is not intended to be taken.” The lawsuit alleges the defendant relayed to the proposed class members that a settlement offer would only be valid if the first payment was received on or before a certain date. In fact, the settlement offer made by the defendants reportedly had no expiration date. Such statements, the lawsuit claims, are illegal under the FDCPA because they impart a false sense of urgency to the unsophisticated consumer, who may be deceived into making payments within a non-existent time limit.
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