Credit Systems of the Fox Valley Sued Over Allegedly False Threats in Letter

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Credit Systems of the Fox Valley, Inc. is the defendant in a proposed class action that alleges the company misled a Wisconsin consumer regarding the negative credit reporting of his delinquent car loan.

The case focuses on an October 2018 collection notice sent to the plaintiff on behalf of Landmark Credit Union. According to the complaint, the letter stated, in part:

“As required by law you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligation.”

The suit says this statement led the plaintiff to believe that he could protect his credit record by paying the debt. In actuality, the case continues, the man’s creditor had already reported the obligation as delinquent to one or more agencies by the time the letter was mailed.