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Midland Credit Management Debt Collection Letters Class Action Lawsuit - Misleading Letters To Confuse Loan Borrowers

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Midland Credit Management Debt Collection Letters Class Action Lawsuit – Misleading Letters To Confuse Loan Borrowers?

Debt Collector Midland Credit Management Uses Vague Wordings On Their Collection Letters To Loan Holders; Violates The Law 

Debts collection company Midland Credit Management has been accused in a class action lawsuit of not following the law by sending out vague and misleading debt collection letters to borrowers on purpose. 

Pennsylvania Court To Take On Class Action Filed Against Midland Credit Management

Click to access Shannon-Smith-v.-Midland-Credit-Management-Inc..pdf

Filed in a Pennsylvania court, the Midland Credit Management Debt Collection Letters Class Action Lawsuit is taking the defendant Midland Credit Management to court for allegations of violations of the law. 

Complainant Shannon Smith claimed that the debts collector company sent her a debt collection letter indicating a non-specific collection provision being offered to her for consideration. 

The purported letter was forwarded to the plaintiff in mid-2021 and detailed a line offering Smith an unclear third payment option worded as the following: ‘Monthly Payments As Low As’ – Payments as low as $50 per month.’ 

Which Is Which? Plaintiff Claims Unclear Wording An Alleged Violation Of The Law 

Due to its vague wording, Smith contended that it might mean two different things: one, Midland Credit Management is allowing her to pay only $50 and above until the loan obligation is completely paid off; and, second, an unexplained discounted monthly payment amount if Smith decides to pay $50 per month. 

With the abovementioned details, the Midland Credit Management Debt Collection Letters Class Action Lawsuit is accusing the defendant of not following the provisions of the consumer protection debt laws set up in the land.

Plaintiff Smith wants to form and represent a Class group consisting of Pennsylvania residents who happened to receive similarly worded letters from Midland Credit Management that were vague and unclear. 

The class action filing is also requesting the court to force the debts collection company to pay up for actual and statutory damages. Furthermore, it is also imploring the court to ask Midland Credit Management to pay up for the legal fees and other related expenses in the class action court proceedings. 

About The Company

Midland Credit Management (MCM) is a debts collection company founded in the mid-20th century in Kansas. Now based in San Diego, the company is believed to be the United States’ biggest debt buying collection company, wherein they buy up delinquent loans from lenders nationwide to turn a profit out of them. In the year 2017, Midland Credit Management is said to have made more than a billion dollars of revenue.    

Editor’s Note on Midland Credit Management Debt Collection Letters Class Action Lawsuit: 

This article reports on the class action case brought up against Midland Credit Management, Inc. after they reportedly used unspecific wordings and statements on their debts collection letters addressed to loan holders. A similar class action was filed against Navient over student loans.

Case Name(s) & No.:  Shannon Smith v. Midland Credit Management, Inc., et al.; Case No.: 2:21-cv-03718

Jurisdiction: United States (U.S.) District Court for the Eastern District of Pennsylvania 

Products/Services Involved: MCM’s debts collection letters

Allegation(s): Midland Credit Management, Inc. presented potentially misleading information on their debts collection letters that ended up harming the recipient’s best interests.

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