FDCPA Suit Claims Transworld Systems Failed to Communicate ‘Amount of Debt’

New to ClassAction.org? Read our Newswire Disclaimer

Transworld Systems Inc. is facing a proposed class action alleging the defendant violated the Fair Debt Collection Practices Act by failing to specify the amount of a consumer’s purported debt. According to the complaint, the plaintiff received a collection letter from the defendant that listed a “Current Balance Due” and informed him that the amount “may be periodically increased due to the addition of accrued interest or other charges.” The suit argues that upon reading the letter, the least sophisticated consumer would be unsure as to how much he or she truly owed because the defendant failed to specify the interest rate, date of accrual, and the amount of interest accrued over “any measurable period.”