A-1 Collection Service Falsely Claimed to be Licensed in Wisconsin, Class Action Alleges

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Two Wisconsin consumers have filed a proposed class action against A-1 Collection Service, Inc. over claims that the company falsely stated it held a Wisconsin debt collection license.

The suit says the defendant sent a letter to the plaintiffs in October 2018 concerning an obligation owed to Ward-Brodt Music Mall that allegedly stated, in part:

“This collection agency is licensed by the Division of Banking in the Wisconsin Department of Financial Institutions, www.wdfi.org.”

According to the case, the company was not, in fact, licensed by the state to act as a collection agency. “Defendant is not listed on the Division of Banking’s website that lists all collection agencies that currently hold a Wisconsin collection agency license,” the suit explains. By misrepresenting its licensing status, the complaint argues, the defendant tricked the plaintiff into thinking the company had more “legitimacy and power to collect the debt” than it truly did.