Class Action Claims Financial Recovery Services Collection Letter Failed to Clearly State Debt Amount

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Financial Recovery Services, Inc. is on the receiving end of a proposed class action filed in New York over a collection letter that allegedly failed to clearly indicate whether the plaintiff’s debt amount was increasing.

According to the complaint, the letter stated, “As of the date of this notice you owe $1,625.45.” While the letter never explicitly states that the balance will or will not increase, the lawsuit argues that this language implies the debt amount may increase “at a later stage.” Though the letter supposedly contained an itemized list indicating that no interest or fees had been added since charge-off, the case claims there is still no indication that these additional charges won’t be applied in the future, leaving the plaintiff unsure as to how much she truly owed.