Easterling v. Collecto, Inc., No. 11-3209 (2d Cir. 2012)Annotate this Case
Plaintiff commenced this action, on behalf of herself and the 181 other individuals in New York State who had received student loan collection letters from defendant. At issue was whether a debt collector's inaccurate representation to a debtor that her student loans were "ineligible" for bankruptcy discharge was a "false, misleading, or deceptive" debt collection practice, in violation of the Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. 1692 et seq. The court held that it was because the least sophisticated consumer would interpret defendant's letter as representing, incorrectly, that bankruptcy discharge of her loans was wholly unavailable to her. Accordingly, the court reversed and remanded.