NY Woman Sues EGS Financial Care Over Collection Notice

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EGS Financial Care, Inc. is on the receiving end of a proposed class action filed by a New York woman who alleges the company sent her a notice that contained Fair Debt Collection Practices Act (FDCPA) violations. The lawsuit claims the letter noted the plaintiff’s balance “may periodically increase” due to the accrual of interest or “other charges.” EGS Financial Care violated the FDCPA, the case argues, because it failed to “clearly and accurately”—and from the perspective of the least sophisticated consumer—convey the amount of debt the plaintiff owed in a way that would allow her to determine the minimum amount owed at the time the notice was received. More specifically, the case claims the defendant failed to break down whether the stated balance includes accrued interest, what portion of that amount is listed as principal, and what “other charges” may apply.