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Man alleges improper debt collection practices

MADISON - ST. CLAIR RECORD

Monday, November 25, 2024

Man alleges improper debt collection practices

Law money 07

BENTON – A Wood River resident claims a debt collection agency is misrepresenting the amount he owes and added on extra fees, violating the Fair Debt Collection Practices Act.

David Peach filed the suit April 22 in U.S. District Court for the Southern District of Illinois against Asset Acceptance LLC.

In January 2011, Peach and Asset Acceptance entered into a payment agreement for a debt, in which Peach agreed to pay $100 per month to pay off what was owed, the suit says.

Since then, Peach claims he has checked his statements and discovered that the defendant is assessing charges it assured him would not be assessed, according to the complaint. He also claims Asset Acceptance falsely reported the amount of the debt to Experian, the suit alleges.

Even though the original debt was $10,767 and the plaintiff has made 63 monthly payments of $100, bringing the balance to $4,500, the defendant sent a letter to the plaintiff stating he still owes $11,462, according to the complaint.

Peach alleges the defendant violated the FDCPA by using false, deceptive, misleading or unfair means to collect the debt; falsely representing the amount of the debt; and communicating information about the plaintiff's credit that it knows to be false.

In addition to a trial by jury, the plaintiff seeks actual compensatory damages, statutory damages of $1,000, court costs and other relief the court deems appropriate. He is represented by David M. Marco of Smithmarco PC in Chicago.

U.S. District Court for the Southern District of Illinois Case number 16-cv-447

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