Class Action Filed Against Alltran Education Over Alleged Debt Collection Abuses

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Alltran Education, Inc. is staring down a proposed class action that details claims from a Georgia resident who says the company mailed her a collection notice in which it falsely implied her account balance would increase.

According to the case, the January 2018 letter was sent over an obligation supposedly owed to Apollo Education Group and stated, in part:

“Principal: $380.68
Interest: $0.00
Collection Cost: $0.00
Fees & Other Non-Collection Charges: $0.00
Total Current Balance: $380.68

As of the date of this letter, you owe the total balance due reflected above. Because of interest, late charges, and other charges that may vary from day to day, the amount due on the day you pay may be greater. As a result, if you pay the amount shown above, an adjustment may be necessary after we receive your payment…”

The suit claims that the defendant aimed to coerce the plaintiff into making a payment by suggesting that her account was accruing charges when, in actuality, it was not. By indicating zero balances for interest and other fees along with a disclosure that the debt amount may change, the letter supposedly confused the plaintiff with its contradictory information, the lawsuit says. Further, the case argues that the notice overshadowed the plaintiff’s rights in that the woman “felt pressure to pay immediately in order to avoid additional interest on the account” rather than exercise any other options, such as submitting a dispute or requesting validation of the debt.