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Cawley & Bergmann, Cavalry SPV Understatement of Debt Amount Class Action

The complaint for this class action alleges that the amount owed on two debts by plaintiffs Julie and George Voeks was understated in a debt collection letter sent to them by Cawley & Bergmann, LLC on behalf of Cavalry SPV I, LLC. The complaint alleges that this is a misrepresentation and violates both the Fair Debt Collection Practices Act (FDCPA) and debt collection provisions in the Wisconsin Consumer Act.

The Nationwide Class for this action is

  • All natural persons in the US
  • Who were sent a collection letter in the form represented by Exhibits B and/or D attached to the complaint of this action,
  • Seeking to collect a debt owed to Cavalry SPV and originally owed to Citibank,
  • Which was incurred for personal, family, or household puposes,
  • Where the letter includes the “Balance Owed” from the “Sale Amount” data provided by Citibank, and
  • The “Sale Amount” provided by Citibank is less than the “Current Balance” provided by Citibank, and
  • The letter was mailed between June 11, 2017 and June 11, 2018, and not returned by the postal service.

The Wisconsin Class for this action is the same, except that it includes all natural persons in Wisconsin, rather than all natural persons in the US.

Two consumer debts are at issue here.

First, the plaintiffs had a “Citi Thank You Preferred Card” credit card account. On February 19, 2018, after the card went into default, the complaint says, Citibank sent the plaintiffs a statement saying that the card’s “Previous Balance” was $2,304.13. It added $29.98 in interest and said that the “New Balance” was $2,333.98.

The plaintiffs also had a “Citi Diamond Preferred Card” credit card account. On February 21, 2018, after the card went into default, the complaint says, Citibank sent the plaintiffs a statement saying that the card’s “Previous Balance” was $3,407.09. It added $56.63 in interest and said that the “New Balance” was $3,463.72. (Both of these statements are attached as exhibits to the complaint.)

On May 3, 2018, Cawley sent the plaintiffs a debt collection letter stating that the first account had an “Balance Owed” of $2,304.13. On the same day, it also sent them a collection letter for the second account stating that its “Balance Owed” was $3,407.09. (Both of these letters are attached as exhibits to the complaint.)

Both letters are in violation of the FDCPA and Wisconsin laws, the complaint says, in that the amount of the debt is incorrect. According to the complaint, understating the balance of the debt is a material misrepresentation

Article Type: Lawsuit
Topic: Consumer

Most Recent Case Event

Cawley & Bergmann, Cavalry SPV Understatement of Debt Amount Complaint

June 11, 2018

The complaint for this class action alleges that the amount owed on two debts by plaintiffs Julie and George Voeks was understated in a debt collection letter sent to them by Cawley & Bergmann, LLC on behalf of Cavalry SPV I, LLC. The complaint alleges that this is a misrepresentation and violates both the Fair Debt Collection Practices Act (FDCPA) and debt collection provisions in the Wisconsin Consumer Act.

cawley_bergmann_fdcpa_complaint.pdf

Case Event History

Cawley & Bergmann, Cavalry SPV Understatement of Debt Amount Complaint

June 11, 2018

The complaint for this class action alleges that the amount owed on two debts by plaintiffs Julie and George Voeks was understated in a debt collection letter sent to them by Cawley & Bergmann, LLC on behalf of Cavalry SPV I, LLC. The complaint alleges that this is a misrepresentation and violates both the Fair Debt Collection Practices Act (FDCPA) and debt collection provisions in the Wisconsin Consumer Act.

cawley_bergmann_fdcpa_complaint.pdf
Tags: FDCPA, Misrepresentations or False Statements