K&S Files Class Action Against Transworld Systems, Inc. Regarding Unfair Student Loan Collection Practices

September 25, 2017 Posted By Daniel Schlanger

Continuing our work on behalf of consumers facing collection on time barred debt, Kakalec & Schlanger, LLP recently filed an FDCPA class action class action along in U.S. District Court, Northern District of New York, against Transworld Systems, Inc.  The lawsuit, Jurs v. Transworld Systems, Inc. (17-cv-1030), is brought with co-counsel Anthony J. Pietrafesa of Syracuse, NY, and alleges that Transworld attempts to collect alleged student loan debt that is time barred (i.e. outside the statute of limitations) without providing the detailed notice required by New York’s Department of Financial Services in such scenarios, and that these collection attempts violate both the Fair Debt Collection Practices Act (FDCPA) and section 349 of New York’s General Business Law.  The statutorily required notice includes, inter alia, a warning that by making a partial payment the consumer risks re-tolling the statute of limitations.

This case is the second class action our firm has filed in the past two years involving collection attempts on student loan accounts alleged to be owned by the National Collegiate Student Loan Trust.  The first, Winslow v. Forster & Garbus, LLP et al (2:15-cv-02996-AYS) is pending in U.S. District Court in the Eastern District of New York.