Consumer ‘Confused’ by Two Interest Charges in Coast Professional Collection Letter

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A man alleging violations of the Fair Debt Collection Practices Act (FDCPA) has filed suit against debt collector Coast Professional, Inc. over a “misleading” collection letter that allegedly indicated two separate interest charges.

The San Bernardino, California resident received a notice from the defendant in February 2018 regarding a debt allegedly owed to University of La Verne, the suit says. The letter supposedly provided an itemized list of charges as follows:

RE: UNIVERSITY OF LAW VERNE/TUI 2ND
Principal: $1,948.00
Interest: $864.06
Other Interest: $37.93
Other Fee: $0.00
*Collection Fee: $0.00
Misc. Fees: $0.00
Balance Due: $2,849.99

The case argues that listing both “interest” and “other interest” was deceptive because the letter did not provide any explanation as to the difference between these charges. “Defendant can not [sic] possibly have two different interest charges since no contract allows for that,” the suit claims.