NY Man Hits First National Collection Bureau with FDCPA Lawsuit

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A New York man has filed suit against First National Collection Bureau, Inc. alleging that the debt collector failed to specify the true amount of his alleged debt and charged him an illegal amount of interest. According to the proposed class action, the plaintiff received a letter from the defendant that listed his “Total Due” and his “Interest Accrued Since Charge-off.” The letter failed, however, to note the interest rate or whether interest would continue to accrue on the balance, the complaint says. The suit argues that the consumer could pay the amount listed in the letter and still be unsure as to whether the account was settled.

The suit further argues that the defendants charged an interest rate of over 20%, which supposedly exceeds the maximum rate allowed by New York state law. According to the plaintiff, the defendant’s conduct constitutes an “unfair or unconscionable means” to collect a debt, in alleged violation of the Fair Debt Collection Practices Act (FDCPA).