In a victory for victims of the Telephone Consumer Protection Act (TCPA), Education Financial Solutions will have to pay out over $1.1 million in a settlement that alleges the firm used autodialers to contact consumers without their consent.
Using the name Campus Debt Solutions, LLC., Education Financial Solutions used an autodialer to contact users about promotions and new services. In particular, the company primarily offered prospective clients the opportunity to consolidate loans and get forgiveness as it pertained to debt. The company used its autodialer to directly reach customers on their cellphones.
Autodialers, which are telephonic systems that automatically call consumers whose information is contained in a database, are considered to be violations of law under the TCPA guidelines.
Understanding the TCPA
The TCPA is a unique piece of policy that protects consumers from unsolicited phone calls, text messages, voicemails, and a number of other unethical telemarketing practices. The TCPA is in place largely after massive complaints from consumers frustrated with pervasive harassment and overwhelming amounts of calls from telemarketing companies.
Under this legislation, companies like Educational Financial Solutions will have to pay penalties for violations of the TCPA. For negligent violations where a company would have easily been ignorant of their wrongdoing, penalties cap out at $500. For more flagrant and intentionally malicious violations of the TCPA, companies can pay up to $1,500 per individual violation of the law.
Despite the legislation being relatively clear cut, violations continue to occur, as evidenced by this most recent settlement.
A Victory for Consumers
Although the case did not go to trial, it can still be considered a victory for plaintiffs like Winifred Cabiness, as well as others involved in the settlement proceedings. Of the $1.1 million settlement, Class members will be entitled to a little over $330,000. The money will go towards covering damages incurred by the firm, as well as making up for court fees and litigation expenses. In service of the Class as a whole, Cabiness will receive a $10,000 Service Award.
For those who received harassing telephonic communication of any kind on Oct. 16, 2013 or thereafter, they will be entitled to part of the settlement. Depending on the precise amount owed per class member, the average payout will be about $20 per those involved in the settlement. As with most settlements, those numbers are subject to change, either higher or lower.
Anyone eligible or possibly eligible for compensation related to the settlement will be notified via email.
Did You Get a Call From Campus Debt Solutions?
Companies like Campus Debt Solutions harass and frustrate everyday people in an attempt to make a profit. Don’t let them continue to harass or frustrate you; call a competent and experienced TCPA lawyer today. You could be entitled to upwards of $500-$1500 per TCPA violation.
The Law Offices of Jibrael S. Hindi have proven success battling on behalf of those who experienced violations under the TCPA. Let us battle on your behalf and get the compensation you rightfully deserve. Call us at 1-844-JIBRAEL or visit us online today.