Kansas City Woman Sued by Debt Buyer Awarded $83M

A Kansas City woman sued by a debt collector claiming she owed $1,000 for a credit card bill that wasn’t hers was awarded more than $83 million by a jury.

The Missouri jury found debt buyer Portfolio Recovery Associates LLC violated the Fair Debt Collection Practices Act by maliciously pursuing Maria M. In actual damages for FDCPA violations, Maria will receive $250,000, but for relentless harassment, Maria was awarded punitive damages of $82,990,000.

Portfolio Recovery, one of the leading buyers of debt in the United States, filed a lawsuit against Maria in 2013 claiming she was delinquent on a $1,000 credit card bill. Despite her insistence that the debt actually belonged to a Kansas City, Kan., man with a similar name, the debt collectors pursued her for 15 months after she received notice of the lawsuit.
Portfolio Recovery released in a statement expressing hope the judge will set aside the award.

Knowing Your FDCPA Rights

Collecting an unpaid debt is a legal practice, but some bill collectors take things too far. The FDCPA was passed by Congress in 1978 as a way to establish legal debt collection practices to help regulate creditors and protect debtors.

Despite the FDCPA, many still employ illegal practices to collect payment and consumers may be unaware that their rights are being violated.

FDCPA violations include:

• Telephone harassment. Bill collectors may only call between the local hours of 8 a.m. and 9 p.m., and they are not allowed to let the phone ring repeatedly or continuously with the intent of annoying or harassing a debtor. 
• Failure to cease communication if a debtor makes a written request.
• Expired debt collection. Creditors are mostly prohibited from trying to collect debts that are in default for four years or more. Some bill collectors fail to disclose that the debt has expired.
• Contacting third parties. Bill collectors can’t communicate with a debtor’s family, employers or anyone else in an effort to collect a debt.
• Debt collection harassment, or use of threats or abusive language.
• Deceptive practices, like lying about how much owed or falsely representing who they are.

FDCPA Lawsuits

Debt collectors practicing any of these FDCPA violations may be held accountable by consumers filing FDCPA lawsuits. For each FDCPA violation, consumers can pursue $1,000 in statutory damages. Contact an FDCPA attorney if you believe your rights have been violated.

Join a Free Unfair Debt Collection Class Action Lawsuit Investigation

If a lender or debt collector engaged in unfair debt collection practices, you may have a legal claim and could be owed compensation for violations of the Fair Debt Collection Practices Act (FDCPA).

Get a Free Case Evaluation Now

DISCLAIMER: Debt collection itself is not illegal. However, debt collection firms collecting on consumer debts must adhere to the FDCPA. Even though debt attorneys are investigating these companies, their debt collection practices may be legal.