Van Ru Credit Corp Facing NY Woman's FDCPA Lawsuit

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Van Ru Credit Corporation is facing allegations that it violated the Fair Debt Collection Practices Act (FDCPA) in collection letters it sent to consumers. A New York woman has filed a proposed class action lawsuit against the debt collector claiming it sent her a letter that stated her “current balance,” but neglected to indicate whether the balance was increasing due to interest, late fees, or other charges. The plaintiff argues that her account is, in fact, subject to these extra fees, but that the defendant’s failure to disclose this information left her unable to determine the true amount of her alleged debt. The letter also contains a settlement offer, according to the suit, but does not indicate whether the balance in the letter will increase if the settlement is not accepted, potentially in violation of the FDCPA.