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Credit Card Lawsuit- Dunning Letters’ False Statements

Credit Card Lawsuit- Dunning Letters’ False Statements

Facing a credit card lawsuit is not only expensive; many are often intimidated with the idea of going head to head with a certain credit card company. The bad news is, many collection companies, junk debt buyers or creditors tend to say a lot of ridiculous things just to collect a debt.  In one case, a woman who was having problems paying for her daughter’s funeral, was threatened by the collection company to “exhume” the body of her daughter.  Unfortunately, some cases where debtors deal with abusive collection companies go largely unnoticed because debtors are too afraid to speak up.

Another controversial case of collection companies caught saying the darnedest things is a letter from  Lender Business Process Services who is seen trying to collect and not collect a debt at the same time. From the disclaimer of the dunning letter, you will see the following paragraph:

“This communication is from a debt collector as we sometimes act as a debt collector. We are attempting to collect a debt and any information obtained will be used for that purpose. However, if you are in bankruptcy or received a bankruptcy discharge of this debt, this letter is not an attempt to collect the debt, but notice of possible enforcement of our lien against the collateral property.”

The two italicized sentences contradicts each other. There’s no way you could collect a debt and not collect a debt at the same time! This is how reality is bent on the perception of many collection agencies. This letter is a perfect example of how some collection companies go as far as feed debtors with false statements, which is a direct violation of the Fair Debt Collection Practices Act.

So what do you do when you receive a dunning letter similar to the ones sent by Lender Business Process Services? You need to either consult your attorney or you report the incident to the right authorities to stop receiving more letters. Remember, being fed with false statements is a violation of the Fair Debt Collection Practices Act so you have every right to press charges when you want to. The key is to teach collection agencies a lesson when it comes to contacting debtors inappropriately and then leaving misleading statements that will only; confuse the other party.

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