Kirschenbaum & Phillips Accused of Unfair Debt Collection Method

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Kirschenbaum & Phillips, P.C. (K&P) is facing a proposed class action lawsuit filed by a New York woman who claims the defendant sent her a misleading debt collection letter. According to the suit, the plaintiff owed a debt to Discover Bank that went into default and was then “charged-off” before being placed with K&P for collection. The defendant allegedly sent the plaintiff a letter informing her that the balance listed “may vary from day to day, due to interest or other charges” and that if she sends in payment, “an adjustment may be necessary.” The suit argues that charged-off debts such as the plaintiff’s would not be subject to “interest or other charges” and that the statements in the defendant’s letter could mislead her into thinking she can save money by paying off the debt quickly. Such tactics, the complaint claims, violate the Fair Debt Collection Practices Act, which is meant to protect consumers from “unfair or unconscionable collection methods.”