Alltran Financial, LP is the defendant in a proposed class action case that claims the company ran afoul of the Fair Debt Collection Practices Act (FDCPA). Filed in New York, the lawsuit alleges Alltran, in a collection notice sent to the plaintiff, failed to clearly state the date on which the amount owed was calculated and whether it may increase due to the accrual of interest. According to the lawsuit, the defendant’s conduct could lead the plaintiff, i.e. the unsophisticated consumer, to mistakenly believe she could pay the debt off in full by paying the amount listed in the notice.
“In fact, however, since interest is accruing daily, or since there are undisclosed late fees, a consumer who pays the ‘amount due’ state on the notice will not know whether the debt has been paid in full,” the complaint reads.