Northstar Location Services Made False Threats in Collection Letter, Consumer Claims

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Northstar Location Services, LLC faces a proposed class action filed in California over claims that the debt collector aimed to coerce payment from a consumer “under duress” by confusing the woman as to the status of her account.

According to the suit, the defendant sent a letter to the plaintiff in June 2018 concerning an obligation originally incurred to Bank of America. The notice allegedly stated:

“If a resolution is not reached, our client will remove this account from our office and may consider additional remedies to recover the outstanding debt.”

The following July, the case continues, the company sent a second letter that read, in part:

“Our records indicate we recently sent you a letter, but we have not received a response. We would like to assist you by customizing a payment arrangement based on your specific financial needs. Should you wish to take advantage of this assistance option, we ask that you contact us today. We look forward to hearing from you.”

The suit says that contrary to the representations made in the initial collection letter, the plaintiff’s account apparently remained in the company’s hands. The case argues that the first letter’s empty threat of removing the account caused the consumer “unnecessary stress, aggravation and anxiety.”