Carson Smithfield Facing Lawsuit Over Collection Notices

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A New York consumer claims in a proposed class action that Carson Smithfield, LLC violated the Fair Debt Collection Practices Act (FDCPA) by failing to make certain mandatory disclosures in a collection notice. The lawsuit alleges Carson Smithfield failed to disclose that the plaintiff’s stated balance may increase due to the accrual of interest or late fees, and was not a static amount. More specifically, the lawsuit takes issue with the defendant’s alleged failure to clearly state whether payment of the amount listed in the notice would fully satisfy the plaintiff’s debt, since the letter did not indicate a minimum payable amount or “provide information that would allow the least sophisticated consumer to determine the minimum amount he or she owes” at the time of receipt of the notice.