FCI Lender Services, Inc. is the defendant in a proposed class action lawsuit that claims it demanded unlawful late fees on an accelerated mortgage loan. According to the suit, the plaintiff defaulted on her mortgage and the entire amount of the loan had been accelerated sometime during or before 2013, prior to the defendant’s involvement in collecting the alleged debt. The complaint claims FCI sent the plaintiff two monthly statements in June and July 2017 informing her that if payment was not received by a certain date, an “$80.75 late fee will be charged.”
Late fees, according to the suit, are only permitted on “overdue payment of principal and interest” and do not apply after a loan has been accelerated. Therefore, the complaint argues, the defendant’s threat of additional fees was false and violated the Fair Debt Collection Practices Act (FDCPA).