Sat.Feb 03, 2018 - Fri.Feb 09, 2018

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Sharing of Convenience Fees Spells Trouble Under the FDCPA

Consumer Financial Services Law

A recent opinion from a district court in California serves as a reminder to creditors and debt collectors of the limited circumstances upon which convenience fees can be collected. In Lindblom v. Santander Consumer USA, 2018 U.S. Dist. LEXIS 993313267 (E.D. Cal. Jan. 22, 2018), the consumer was offered a variety of methods for payment. While some of the options were free, the consumer opted to make several payments using a “speedpay” service through Western Union.