Lawsuit: Midland Credit Management Misled About Possible Attorney Involvement Over Debt

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Midland Credit Management, Inc. (MCM) finds itself facing more litigation stemming alleged violations of federal debt collection laws. A proposed class action out of Wisconsin claims the company, through its non-defendant agent, Midland Funding LLC, mailed the plaintiff a collection notice in which it misled the consumer as to the possibility of legal action, specifically by including language stating Midland “may proceed with forwarding this account to an attorney.” 

“The unsophisticated consumer would believe that if she did not pay the settlement amount or make payment arrangements with [the defendant] by 12-12-2016, a lawsuit would be filed against her by MCM or Midland Funding,” the case explains. “The unsophisticated consumer would be intimidated into paying MCM over other creditors who do not use such false tactics based on a false belief that a lawsuit would be brought against her if she misses the 12-12-2016 deadline.” 

The case takes further issue with Midland’s alleged attempt at collecting $500 should the plaintiff wish to “stop this process from continuing,” an option that the case argues could refer to either a threat of legal action or the general collection process.