Consumer Sues RGS Financial Over 'Deceptive Communications'

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RGS Financial, Inc. is the defendant in a proposed class action lawsuit filed by a New York woman who claims the debt collector failed to clearly communicate the amount of her alleged debt. The letter allegedly specified an “amount owed,” but neglected to mention whether interest or other fees would cause the amount to increase over time. Furthermore, “if interest was waived, the letter would need to contain that disclosure and clearly state that no interest is accruing on this account in order to provide full and fair disclosure to consumers of the actual balance,” according to the complaint. Therefore, the suit claims the plaintiff was unsure of the true amount of her alleged debt and could not proceed to make calculated payments to settle the account. These “deceptive communications” on the defendant’s part “frustrate the consumer’s ability to intelligently choose his or her response,” the complaint argues.