Consumer claims Van Ru Credit Corp. collection letter made false statement

By Philip Gonzales | Nov 7, 2017

HOUSTON – A Baytown consumer alleges a debt collector sent her a misleading letter.

Mandi Allen filed a complaint on Oct. 10 in the Houston Division of the Southern District of Texas against Van Ru Credit Corp. alleging that the debt collector violated the Fair Debt Collections Practices Act.

According to the complaint, the plaintiff alleges that on Oct. 17, 2016, she received a collection letter from defendant, stating that settling her debt for less than the balance owed may have tax consequences and that a 1099C could be filed. She alleges this statement is false and deceptive.

The plaintiff holds Van Ru Credit Corp. responsible because the defendant allegedly failed disclose in the letter how much is interest and how much of the amount is principal and failed to disclose the distinction between principal and interest.

The plaintiff seeks actual and statutory damages, attorney fees, costs and expenses and such other and further relief. She is represented by Michael Jay Ringelheim of RC Law Group PLLC in Hackensack, New Jersey.

Houston Division of the Southern District of Texas case number 4:17-cv-03017

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Houston Division of the Southern District of Texas RC Law Group PLLC Van Ru Credit Corporation

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