EGS Financial Care Hit with FDCPA Lawsuit

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EGS Financial Care, Inc. is on the receiving end of a proposed class action lawsuit claiming it violated the Fair Debt Collection Practices Act (FDCPA). The two plaintiffs in the case, both New York residents, allege they received collection letters from the defendant informing them, in part, that the balances included in the letters “may be periodically increased due to the addition of accrued interest or other charges.” According to the complaint, the letters illegally failed to mention the minimum amount owed at the time they were sent, the interest rate, the date of accrual, and other information needed for the plaintiffs to determine the true amount of their alleged debts.

The suit claims EGS Financial Care violated federal law by failing to “clearly,” “accurately,” and “without ambiguity” communicate the amount of debt from the perspective of the least sophisticated consumer.