A Wisconsin consumer has filed a proposed class action against Professional Placement Services LLC and Capital One N.A. that stems from collection letters she received from the companies in 2016. According to the lawsuit, the plaintiff received three collection notices—Exhibits A, B and C—from the defendants in September 2016. The third notice, i.e. Exhibit C, which was the first the plaintiff received from Capital One over the debt, stated a $318.77 balance that stood in contrast to the “Minimum Payment Due” of $187 reflected on the two previous notices. The case argues this third collection notice is false, deceptive and misleading because it failed to inform the plaintiff that her debt has ostensibly been accelerated, considering it was sent shortly after the second notice in which Professional Placement Services stated the balance of the account would not be accelerated for at least 30 days.
“The unsophisticated consumer cannot determine whether the debt had been accelerated or not, or how much debt is actually due as of the date of Exhibit C,” the lawsuit stresses. “Exhibit C states that the ‘Balance’ is $318.77 without stating an amount ‘due’ while Exhibits A and B seek only a minimum payment of $187.00.”
The case picks back up again in December 2016 when the plaintiff allegedly received two more collection notices—Exhibits D and E—which, the lawsuit argues, further confused the plaintiff as to whether her debt had been accelerated. At this juncture, the complaint alleges the defendants work in tandem in their attempts to collect such debts as owed by the plaintiff.
“[Professional Placement Services] and Capital One both represented the amount of the debt in a way that was confusing to the unsophisticated consumer and/or misrepresented the amount of the debt,” the lawsuit reads. “Upon information and belief, [Professional Placement Services] and Capital One work in a scripted process to collect Capital One debts such as [the plaintiff’s].”