Consumer Claims Forster & Garbus Failed to Clearly State Debt Amount

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Forster & Garbus LLP is the defendant in a proposed class action that alleges the company failed to clearly convey a consumer’s amount of debt.

Filed in New York, the suit focuses on an October 2017 letter the defendant sent to the plaintiff that allegedly stated, in part:

“Interest may subsequently accrue to this account; therefore, the amount due on the day you pay may be greater.”

The case argues that the letter failed to adequately explain the debt balance by neglecting to disclose the details of the interest charges that may apply.

“It is not enough that the collector provide ‘the amount of the debt’ on the date of the letter,” the complaint reads. “The consumer must be able to know the interest rate and be able to discern the amount of the debt at [any] given time in the future.”