Welcome to our March, 2021 Newsletter! We have gotten some great feedback about this newsletter, so pass it on to a friend or family member!
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Looking Back at 2020:
The Year That Was but Wasn't
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2020 saw lots of things other than just COVID-19.
Although the courthouses were largely closed, we were able to make progress in most cases. We helped clients resolve a broad array of problems: student loan debt, auto repossessions, medical debt, credit report disputes, identity theft and more. While many clients and cases stand out as especially meaningful, we are particularly proud of one particular class action settlement.
In that case, we were hired to defend a client in a debt collection lawsuit. After Manny Turnbull won the debt collection in a contested trial, we sued the debt collector for alleged violations of the Maryland Consumer Debt Collection Act and the Maryland Consumer Protection Act. As part of the settlement, the debt collector dismissed all pending lawsuits against class members, and moved to vacate and dismiss any judgments it had already obtained. It also agreed to pay money to the class members.
We are proud of these results because preventing future judgments and getting existing judgments dismissed has an immediate impact on people's ability to get and keep a job, a security clearance, a mortgage or a car loan. Helping to relieve a bit of financial distress during the height of COVID-19 was very gratifying.
Ann Franklin, Bookkeeper and Legal Assistant at The Holland Law Firm, commented on COVID-19, "What strikes me is our ability to still get work done. Yes, courts were partially closed, but we could generally still get case files, with appointments, masks and social distancing. Peter and Manny were able to conduct court business remotely. We used Zoom and conference calls to have both staff meetings and client consultations."
She continues, "Clients have emailed or faxed documents as needed. Access to webinars was readily available, and online banking and electronic payment systems allow the financial side to keep moving."
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What Gives with Student
Loan Forgiveness
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Sent on February 19, 2021, the letter highlights students that are in desperate need of loan relief because of financial strains due to the pandemic. One in five Federal student loan borrowers were already in default before Covid-19 hit our economy. The letter also calls for President Biden to cancel up to $50,000 in Federal student loan debt.
In a town hall meeting in Milwaukee, Wisconsin, when asked by a voter about the student loan debt relief of $50,000, President Biden commented that he would consider $10,000. His press secretary in a tweet said Biden might consider more relief, but he thinks this should be done through legislation in congress.
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What We Are Seeing and Hearing: Current Trends
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Calls to The Holland Law Firm:
Looking back, we noticed that despite the unique challenges created by COVID, the topics people call us about have remained relatively stable: student loans, repossessions, medical debt, HOA debt, identity theft, credit report errors and small claims collection lawsuits.
"We have seen an increase in calls about debt collection defense," commented Emanwel Turnbull, "probably a symptom of the financial distress caused to many Marylanders by the pandemic. This problem is only likely to increase, since during the pandemic, some major creditors have pulled back from collecting defaulted consumer debt. That won’t last forever, and we expect that as the crisis recedes, debt collection efforts will increase further."
Litigation Trends:
We keep an eye on trends in debt collection litigation in Maryland’s District Court – the court where most consumer collection cases happen.
Emanwel says, "In 2020, as usual, District Court collection cases were dominated by a few large debt buyers: Midland Credit Management, LVNV Funding and Portfolio Recovery Associates (PRA). Collectively these companies have filed more than 24,000 collection cases, dwarfing large financial institution as such as Bank of America and Citibank in contrast that have filed less than 2,000 case each."
Emanwel continues, "While the debt buyers as a group were less active in 2020 than 2019, when the big three file more than 27,000 cases, the most notable change was who did the filing: PRA and Midland (both publicly traded companies) while LVNV, a privately held debt buyer, nearly doubled its filings from 2019. Like the publicly traded debt buyers, large banks also cut their collection cases in 2020. In fact, only two other major filers appear to have increased their filings from 2019 to 2020: Baltimore County (whose cases are not necessarily consumer collections) and Navy Federal Credit Union, which increased its filings by about a third."
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Pandemic Ripe for Scams: New Federal Trade Commission Study |
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It is no surprise that scammers saw great opportunities in our shut-down and vulnerable world during the pandemic. The Federal Trade Commission's February 2021 Consumer Sentinel Network Study highlights data showing nearly 1.4 million complaints of identity theft which was twice as much as 2019.
Maryland landed in the top five states with the highest instances of fraud and other reports during the pandemic: 1. Nevada 2. Delaware, 3. Florida, 4. Maryland, and 5. Georgia. And the top category of fraud for all states: Identity Theft.
Maryland's top five categories were: identity theft, imposter scams, online shopping/negative reviews, credit bureaus/information furnishers/report users, and banks/lenders.
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So What Are My Rights When the Debt Collector Keeps Calling |
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What are your rights? Often, there is shame around debt, so perhaps the consumer might not stand up to the person on the phone. This gives the debt collector just the edge they would like.
The best way to assess the validity of the debt or the debt collector is to send a dispute and validation letter. Good samples with explanations are available from the Consumer Financial Protection Bureau's materials on debt collection. This website has sample letters for how to request validation of a debt or debt collector, how to dispute it, and how to file a complaint.
It can be a good starting place if you are not sure you need to speak with a lawyer yet.
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Holland Law Firm - What We are Reading |
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The Vanishing Half by Brit Bennett. This multi-generational story begins in the 1950’s when twin sisters Desiree and Stella run away from their small, southern black community. Circumstances cause Desiree to move back, to ultimately raise her daughter in the home she grew up in. The story moves back and forth through time, the themes of identity, change, family bonds are all examined through characters the reader cares about. -Ann Franklin
Bad Blood: Secrets and Lies in a Silicon Valley Startup by John Carreyrou. The novel details the history of biotech startup Theranos. Created by Elizabeth Holmes,Theranos claimed to be running multiple lab tests from a drop of blood, using a shoe box sized machine that could be placed in locations ranging from pharmacies to individual homes. The degree to which the company hoodwinked employees, investors, journalists and respected high-profile board members is fascinating. -Ann Franklin
Where's my Cow? by Sir Terry Pratchett. One book has dominated my 2020. It is a short book. It is about someone who has lost their cow. It has the following merits: it makes my son go to sleep. -Manny Turnbull
Olive Kitteridge by Elizabeth Strout. Olive is a retired school teacher who deplores any change in her small town in Maine. At times she speaks with words colder than the Atlantic waters that surround her, but her world grows through her interactions with the townspeople. -Casey Santora
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When you might need to contact a lawyer..... |
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Why consumer rights lawyers CAN make a difference.
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Did you lease
that are damaging
your home? Were you approached by a door to door salesman? Are your utility bills higher than they were before you leased the solar panels?
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H HOLLAND LAW FIRM: RECENT ACTIVITIES AND BOARD MEMBERSHIPS
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Both Peter and Manny are members of Law Zebra, a groundbreaking organization of independent trial and consumer rights lawyers who hail from several states across the country.
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We Are Here to Help. Call Us! |
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Do you know someone being hounded by debt collectors for a mortgage, student loan, medical debt, residential lease, car loan, or credit card debt? Do you know someone who is the victim of Identity Theft or Credit Reporting Errors? We can help.
Call us for a confidential consultation at 410-280-6133!
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Peter A. Holland and Emanwel J. Turnbull |
The Holland Law Firm, P.C.
914 Bay Ridge Road, Suite 230
Annapolis, MD 21403
410 280 6133
NOTE: This newsletter may be considered to constitute advertising under Rule 7.2 of the Maryland Code of Professional Conduct and other state rules. Peter Holland is responsible for the content.
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