Wisconsin Consumer Alleges FDCPA Violations in Suit Against Financial Recovery Services

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In a proposed class action lawsuit, a Wisconsin consumer claims Financial Recovery Services, Inc. violated the Fair Debt Collection Practices Act (FDCPA) by implying that it had authority to add a collection fee to the woman’s balance. The plaintiff says she received a collection notice from the defendant that listed a “Cost Balance” of “$0.00” and contained no explanation of the nature of the extra charge or whether it would increase in the future. The suit argues that the letter’s mention of the fee, despite its balance of zero, unlawfully implied to the plaintiff that the debt collector had the authority to add an additional collection fee that it was not permitted to add under Wisconsin law. Moreover, the case claims the defendant’s letter constituted a “false representation” of the plaintiff’s debt and threatened to take an action “that cannot legally be taken,” an alleged violation of the FDCPA.