Wisconsin Consumers Sue LTD Financial, First Savings Bank Over Alleged FDCPA Violations

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A proposed class action has been filed against LTD Financial Services LP and First Savings Bank over claims that the debt collectors violated several provisions of the Fair Debt Collection Practices Act. The two plaintiffs in the case allege that they received debt collection letters from the defendants instructing them to “call this office to discuss this debt,” which, according to the suit, would mislead the unsophisticated consumer into thinking he or she can dispute the alleged debt over the phone.

“The false statement that the consumer can call with a dispute rather than submit a dispute in writing, or that both methods of communication are equivalent, misleads the consumer into not successfully exercising her validation rights,” the complaint reads.

The first plaintiff further claims the two letters she received from the defendant referenced two different account numbers and identified “BARCLAYS BANK DELAWARE” as both the “CREDITOR” and “ORIGINAL CREDITOR.” The case argues that upon reading the letters, the plaintiff was unsure as to whether the debt collectors named the correct creditor and were referencing an account that belonged to her.

The second plaintiff also claims the defendants confused her by stating two different minimum payments for the same billing cycle and then sending another letter that demanded the full balance without referencing a minimum payment.