Midland Credit Fails to Include Info on Age of Consumers’ Debt, Lawsuit Claims

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A lawsuit has been filed in Miami against Midland Credit Management Inc. and Midland Funding LLC alleging violations of the Fair Debt Collection Practices Act (FDCPA) and the Florida Consumer Collection Practices Act. According to the suit, the defendants illegally attempt to collect on consumer debts in “misleading” letters that offer several payment options that purport to offer a credit reporting benefit the companies cannot legally provide. Specifically, the case claims the defendants imply that they will “cease negatively reporting the debts on Plaintiff’s credit reports after receiving full payment on the Debt,” despite the claim that the payment options will have her making payments until 2021 when her debt can no longer be reported to consumer agencies. The defendants, however, allegedly fail to include information regarding the age of the plaintiff’s debt and their inability to report it as of June 30, 2018 due to the applicable statute of limitations.

The reason for the letters and monthly payment offers, the case continues, is for the defendants to allegedly “gain a competitive advantage over other debt collectors in the marketplace who either appropriately provide debtors notice that FCRA limits how long a creditor or debt collector can report delinquent debts…or who do not assert the legal right to report the debt…past the seven (7) year time limit stipulated by the FCRA.”