EGS Financial Care Facing Wisconsin Consumer’s Debt Collection Case

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A proposed class action lawsuit has been filed against EGS Financial Care, Inc. that claims the debt collector misrepresented the plaintiff’s debt amount.

According to the complaint, the plaintiff’s creditor, Synchrony Bank, mailed her a credit card account statement on February 25, 2018, that listed a minimum payment of $107.00 and an “Amount Past Due” of $59.00. A few days later, the bank supposedly sent the woman a notice stating that her “amount now due” was $59.00.

On March 28, 2018, the plaintiff allegedly received another account statement from Synchrony that represented that her minimum payment had increased to $158.00 and her “amount past due” equaled $107.00.

March 31, 2018, saw the plaintiff receive another collection letter from the defendant in which it attempted to collect an “amount now due” of $158.00. The case argues that the first two letters defined Synchrony’s “amount past due” as the “amount now due.” Inconsistent with this definition, the defendant supposedly demanded payment of the plaintiff’s “total minimum payment due” instead of the “amount past due” that was listed in the March collection letter.

“There is a difference between the ‘Amount Past Due’ and the ‘Total Minimum Payment Due,’” the complaint argues. “The ‘Total Minimum Payment Due’ is the sum of the ‘amount past due’ and the minimum payment, which is not itself due until the ‘Payment Due Date.’”

The lawsuit claims the defendant unlawfully attempted to collect an amount that was not yet due in order to “increase its profits under false pretenses.”