Zwicker & Associates’ Facing FDCPA Suit Over “Timing and System Limitations” Language

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A proposed class action lawsuit has been filed on behalf of New York residents who received within the last year collection letters from Zwicker & Associates, P.C. regarding debts owed to American Express. According to the suit, the letters violated the federal Fair Debt Collection Practices Act in that they constituted an “unfair and unconscionable means to collect a debt.”

The plaintiff claims that he received a letter from the defendant – that is, Zwicker & Associates, P.C. – stating that he had an unpaid account balance of $3,103.87 owed to American Express. In the letter, the suit continues, was the following statement:

“The Balance above reflects the total balance due as of the date of this letter. The itemization reflects the post charge-off activity we received from American Express and as such is subject to timing and system limitations.”

The suit takes particular issue with this statement and alleges that it falsely suggests “that immediate payment of the balance would benefit Plaintiff financially by stating that the account balance stated above was ‘subject to timing and system limitations.’” Furthermore, the lawsuit charges that the plaintiff was left unaware as to what exactly “timing and system limitations” are, whether these limitations refer to accruing interest, and whether the limitations have already caused or will cause his account balance to increase.  

According to the suit, the defendant has no legal or contractual right to change the amount the plaintiff owes to American Express.