Legal Question in Credit and Debt Law in Massachusetts
Collection Agency Charge/Fee
We just received a Collection Agency letter (who just got the case) and stated how much we owe (the principal balance)which is $2,800 and the collection agency is adding on an additional $700.00 for their fee/charge. Is this legal? I thought you only what you owe plus maybe an additional small processing fee if they do that.
1 Answer from Attorneys
Collection Fees?
Recently there was an article in the Globe about this matter.
Your agreement with the creditor determines what is allowed. Usually, the agreements include the costs of collection, which are attorney's fees. You can of course ask for a break down of how this fee was arrived.
You should take such letters seriously and challenge them as a matter of course. Put the burden on the collector to provide you with information, including if the collector actually is the right entity to pursue you.
SHould you have any questions or need assistance, contact me.
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