We recently filed two class action lawsuits against Midland Funding LLC and Midland Credit Management, Inc., alleging these companies violated the Arkansas Fair Debt Collection Practices Act.

Midland Funding LLC and Midland Credit Management, Inc. are part of group of companies that form one of the two largest debt collectors in the country.

The class actions allege these debt collectors violated the Arkansas Fair Debt Collection Practices by serving consumers in court to collect debts, and then contacting consumers with settlement offers with “Reply By” dates past the date consumers had to file written answers in court. In these settlement offers, the debt collectors did not inform consumers they must still file a timely answer with the court within 30 days of being served with the debt collection complaint.

Many federal courts have found this conduct violates the Fair Debt Collection Practices Act, and we argue for the same result in the class actions we filed.

Most consumers who contact me after being sued by a debt collector are confused about what they must do to properly and timely respond to a debt collection complaint. This confusion can lead to consumers not responding to debt collection complaints, judgments being entered against them, and wage or account garnishments.

This a good reminder that consumers must file a written answer with the clerk of court within 30 days of being served with a debt collection complaint.

If you are at all confused about how to respond to a debt collection lawsuit filed by Midland Funding, LLC, Midland Credit Management, Inc., or any debt collector, please contact me for a free consultation.