WI Consumer Claims Balances on Allied Interstate Collection Notices Don’t Add Up

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A Wisconsin consumer claims in a proposed class action that Allied Interstate LLC ran afoul of federal debt collection regulations when it mailed him a collection notice that left him entirely unsure as to how much money the company was actually attempting to collect. The complaint focuses on two collection notices sent in January and March 2017. The plaintiff claims the January notice stated his balance was $3,504, with a minimum payment due of $237. The March notice, however, allegedly sought to collect a total account balance of $330, with an “amount now due” of $330.67.

“As a practical matter, the ‘Amount Now Due’ cannot be greater than the ‘Account Balance,’” the lawsuit argues, claiming the unsophisticated consumer would be baffled as to how much the defendant was attempting to collect.

Further, the complaint takes issue with the total balance of the January collection notice—$3,504.43—and minimum payment sought not jibing with the amounts stated in the defendant’s March collection notice.

“If [the plaintiff] had paid more than $3,000 towards the total balance of this account between January 15, 2017 and March 17, 2017,” the case says, “the minimum payment due as of March 17, 2017 would have been less than $330.67.”