FDCPA FEE LAWSUITS DISMISSED AGAINST NATIONAL ARM FIRM WITH SUPPORT FROM LUCENTPAY
Chandler, AZ (August 13, 2019)– LucentPay, provider of adaptable and ARM-focused payment solutions designed for compliance and agency profitability, today announced a national collection agency customer was able to successfully attain dismissal of multiple predatory suits related to the use of a third-party payment fee in two separate states.
The use of LucentPay’s payment processing model for the ARM industry is helping many agencies mitigate their risk when utilizing the No-Cost-to-Biller™ solution. As an advocate for the industry and our clients, LucentPay contributed the response brief which ultimately lead the plaintiffs’ counsel to dismiss the suits.
“We’ve taken a strong position on the permissibility of third-party fees in the ARM industry and are pleased to see ongoing reinforcement that our innovations are both prudent and proven, while remaining profitability-focused,” says Rob Kennedy, Co-Founder and CEO at LucentPay. “Supporting our national clients when faced with predatory lawsuits regarding the No-Cost-to-Biller model we’ve established is another way we stand out from the pack of payment processors in ARM.”
Case law continues to affirm the use of a third-party platform fee by collectors when implemented within specific boundaries, including MAJORS V. PROFESSIONAL CREDIT MANAGEMENT.
“We continue to serve ARM with the absolute latest thinking on the use of fees and No-Cost-to-Biller models, and it is our pleasure to stand by the services we offer when needed,” says Michael McDonnell, Vice President of Sales and Marketing at LucentPay. “By solving agencies most pressing challenges – including profitability and compliance – we are able to help evolve the conversation around the importance of a payment processing strategy.”
ARM companies should continue to consult with their legal counsel and payment provider when determining whether a No-Cost-to-Biller model can be leveraged in their business.
LucentPay is a full-service payment processor and merchant services provider offering a wide range of advanced, compliant and integrated options for their clients including single payments, recurring, payment plans, and virtual debt negotiation. Founded in 2017, the company processes payment transactions for all major card brands including Visa®, MasterCard®, Discover® and American Express®. Headquartered in Chandler, Arizona, with locations around the United States, LucentPay services the Account Receivables Management (ARM) industry. For more information, visit www.lucentpay.com