Green Tree Facing Debt Collection Harassment Lawsuit

Many people don’t know that U.S. law prevents debt collection harassment by holding debt collectors to strict rules and regulations. If a debt collector does not follow these rules, they may find themselves on the business end of a debt collection harassment lawsuit.

A federal law known as the Fair Debt Collection Practices Act (or FDCPA) restricts the way in which debt collectors can go about their work. More specifically, the FDCPA strictly governs who the debt collectors can contact and how. For example, a debt collector cannot tell a third party, like the debt holder’s boss, about the debt in the course of trying to collect it.

Additionally, the FDCPA requires that debt collectors respond to certain requests and provide specific loan and debt documentation in order to more easily sort out cases when debt collectors go after the wrong person. The FDCPA also allows consumers to file unfair debt collection lawsuits against debt collectors who break the FDCPA and allegedly engage in debt collection harassment. These FDCPA lawsuits work as deterrents to discourage rule-breaking among debt collectors and debt collection agencies.

Green Tree FDCPA Violation Allegations

In a recently filed FDCPA lawsuit, plaintiff Thomas H. has alleged that Green Tree Servicing LLC has engaged in unfair debt collection practices. According to his debt collector harassment lawsuit, Green Tree has engaged in debt collection harassment over a debt that was actually resolved during a bankruptcy restructuring.

In this debt collector harassment lawsuit, Thomas provided documentation that several hundred dollars were discharged in the course of his bankruptcy settlement. Despite this evidence, his debt collector harassment lawsuit claims that Green Tree has engaged in debt collection harassment in order to try and recoup this money.

Allegedly, Green Tree spent more than a year making frequent phone calls to Thomas over the alleged debt. These calls took place from April of 2013 to May of 2014. Thomas claims he received eight to 10 calls per day, in what he maintains was a systemic campaign of harassment designed to wear him down into paying Green Tree. Despite Thomas sending in documentation that the debt was discharged, Green Tree allegedly continued to call him frequently, sometimes just calling and hanging up, a tactic the plaintiff alleges was an effort to annoy him.

Additionally, the plaintiff alleges that Green Tree took other steps through malice or incompetence that constituted harassment. For example, Thomas claims Green Tree force-placed insurance on his property. Force-placed insurance is a type of homeowner’s insurance put into place by a lien holder when a borrower does not sufficiently insure their home. However, Thomas provided documentation that he already had homeowner’s insurance. Other allegations include trying to pay property taxes on the house when plaintiff was already paying them, and billing him for it after the fact.

In his FDCPA debt collection harassment lawsuit, the plaintiff alleges that these unfair debt collection practices by Green Tree have caused him enormous stress and annoyance, leading to a variety of serious stress-related illnesses.

The Green Tree Debt Collection Harassment Lawsuit is Case No. 0996, in the U.S. District Court for the Northern District of Illinois, Eastern Division.

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.