You receive a call from a company – a creditor or collections agent, perhaps. In most of these calls, they will ask you some questions, and some of these questions will involve very personal information about your finances. But what if that call is being recorded without your knowing it? And what if something happened to compromise the safety of that information?
While most people simply assume that their calls are not being recorded. But the truth is, companies know that the practice of recording calls is illegal, but they do it anyway. This practice puts your financial security in jeopardy. In fact, a recent class action suit tells this familiar story.
$6.5 Million Settlement for Nationstar Taping Calls
Nationstar Mortgage was the defendant in a recent class action claim in which the mortgage company agreed to a $6.5 million settlement.
The charges against the defendant company involved recording customer phone calls without telling the customers. The plaintiff class included 44,000 people who were physically present in California and using cellphones with California area codes.
The complaint alleges that Nationstar violated California privacy laws.
What This Means
A class action case like this is a big win for consumers in California and throughout the country. Every time we win a case like this, it brings justice to the individuals who were harmed and it gives warning to corporate entities throughout the country that there are consequences to violating people’s privacy rights.