Credit Bureau Associates Facing FDCPA Class Action in Georgia

New to ClassAction.org? Read our Newswire Disclaimer

Credit Bureau Associates of Georgia (which does business as Credit Bureau Associates) is on the receiving end of a proposed class action lawsuit alleging violations of the Fair Debt Collection Practices Act. According to the complaint, the defendant sent a Georgia woman a collection letter that contained the following statements:

“Your account has been listed with CBA for immediate collection; with authority to record this item on your personal credit file. The Fair Credit Reporting Act states that this kind of information can remain in your credit file for 7 years.”

The suit argues that these statements are misleading because the plaintiff’s debt was already in default and could not be reported for a full seven years from the date of the letter.

The complaint then claims the notice indicated to the plaintiff in large font that “PAYMENT OF THE BALANCE IS DUE NOW,” allegedly overshadowing the letter’s information on how to dispute the debt. The case alleges that the plaintiff would be misled by the more prominent statement into believing she could not dispute the debt and that her only option was to pay the full balance as soon as possible.