Consumer filed a lawsuit against Leading Edge Recovery Solutions, LLC alleging that the collection agency violated the Fair Debt Collection Practices Act (“FDCPA”) when its employee allegedly informed consumer that he was going to “press charges” for a “hot check” if the consumer did not pay the debt within 48 hours.
The Fair Debt Collection Practices Act lawsuit alleged that Leading Edge Recovery collection agency also asked consumer for his bank account balance and bank information.
The complaint further alleged that consumer informed Leading Edge not to withdraw funds but the collection agency withdrew funds from his checking account anyway. As a result, the consumer incurred two overdraft fees.
The complaint alleged that Leading Edge Recovery Solutions used 888-306-0514 to place the collection calls.
The facts alleged in the consumer’s complaint are just that — alleged facts. The alleged facts have not been proven in court.
The consumer’s complaint against Leading Edge Recovery Solutions illustrates some important protections the Fair Debt Collection Practices Act provides consumers.
Under Florida law, checks for pay day loans and other post-dated checks are not “hot checks”.
Collection agencies are extremely convincing when they threaten to press criminal charges, arrest consumers, and even imprison consumers while collecting pay day and other loans arising from checks. Most of the time, these threats are entirely without basis because no crime was committed.
Nor should a consumer ever provide a collection agency with his or her bank account information. (This includes checks drawn on the consumer’s account.) Collection agencies often access consumers’ checking accounts without the consumer’s authorization or consent.
If you are receiving calls or letters from Leading Edge Recovery Solutions, you are welcome to contact me using the Contact Form in the right hand column of this page. If you are a Florida resident, you are also welcome to call my office.
If you are not a Florida resident, I will try to provide you with courtesy information so you can contact an experienced FDCPA lawyer who is licensed in and maintains an office in your state or resources to help you in contacting a local FDCPA lawyer.
(C) 2011 Donald E Petersen
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