Receivables Management’s Debt Collection Letters Overshadow Validation Rights, Suit Claims

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A lawsuit has been filed against Receivables Management Systems alleging the company used “an unfair and unconscionable means” to collect debts from Pennsylvania consumers. The plaintiff claims that the defendant sent him a letter in September 2016 to collect a debt allegedly owed to Patient One. The letter supposedly instructed the man, if he believed his insurance carrier owed the money, to contact his provider before calling the defendant’s collection representatives to dispute the alleged debt. The suit contends that such a statement overshadowed his right to dispute the debt in violation of the federal Fair Debt Collection Practices Act. According to the suit, Receivables Management Systems’ letter also failed to clearly and explicitly identify the name of the plaintiff’s creditor.