FDCPA Suit Filed Against Phillips & Cohen Associates, Ltd.

New to ClassAction.org? Read our Newswire Disclaimer

New Jersey debt collection group Phillips & Cohen Associates, Ltd. is the defendant in a class action filed by a New York man who claims he was sent a collection letter that violated the terms of the Fair Debt Collection Practices Act (FDCPA). The plaintiff alleges the defendant omitted FDCPA-required safe harbor language from its letter and failed to state whether the balance listed as owed would accrue interest and fees. Such a letter, the complaint argues, could be problematic for the unsophisticated consumer, who may be unaware as to if their debt amount has been paid in full due to automatically accruing interest and fees. According to the complaint, notices that “state only the ‘balance,’ but fail to disclose that the balance might increase due to interest and fees, are ‘misleading’” under the FDCPA.