Lloyd & McDaniel, PLC has represented creditors’ rights from Louisville, Kentucky for over 60 years, collecting consumer debt for banks, debt buyers, and financial institutions including LVNV Funding, PCA Acquisitions, Fifth Third Bank, and Credit Acceptance Corporation.
Three federal cases name them as a defendant, including a 2016 class action settlement and a 2019 case alleging they failed to send written validation notice after a consumer’s first contact.
A June 2025 complaint documents L&M filing a lawsuit six weeks after a consumer sent a written dispute with no verification provided first. This guide covers who they are and how to respond.
Who Is Lloyd & McDaniel?
Lloyd & McDaniel, PLC is a creditors’ rights law firm with over 60 years of operation in Louisville, Kentucky. They file collection lawsuits in Kentucky, Indiana, and other states and move quickly to wage garnishment after obtaining judgments. Kentucky has a 5-year statute of limitations on written contracts.
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Filing Suit Without Responding to a Written Dispute
In June 2025, a documented complaint describes a consumer who received an L&M collection letter dated April 10, 2025, disputed the debt by email on April 17, 2025 as specifically instructed in L&M’s letter, and received a court summons on June 6, 2025 with no response to the dispute in between.
Under FDCPA Section 1692g(b), once a consumer disputes a debt in writing within 30 days of receiving the initial notice, the collector must cease collection activity until it verifies the debt. Filing a lawsuit without first responding to a timely written dispute is a potential FDCPA violation. If L&M has filed a lawsuit and you previously sent them a written dispute that went unanswered, preserve that documentation and raise the FDCPA violation in your court response.
Using a Hardship Letter as a Legal Answer
A documented CFPB complaint describes a consumer who wrote L&M a general letter about their financial hardship situation. L&M was attempting to collect a debt the consumer was never properly served on. L&M used that general hardship letter as if it constituted a formal legal answer to the unserved lawsuit and obtained a summary judgment on that basis.
A general letter about financial circumstances is not a legal answer to a lawsuit. If L&M has obtained a judgment against you and you were never properly served with a summons, contact a Kentucky consumer attorney immediately. A judgment obtained without proper service is challengeable.
The 2019 Keller Case: Verbal Threats, Written Notice
In Keller v. Lloyd & McDaniel, PLC (N.D. Indiana, Case No. 4:19-cv-17, 2019), LVNV Funding filed a lawsuit through L&M against Maureen Keller. After being served, she called L&M and a representative told her that a judgment would add court costs and fees accruing at 8% interest, and a lien would be placed on any property she owned.
She alleged that call constituted an initial communication requiring a written validation notice within five days under FDCPA Section 1692g, and no such notice was sent. L&M argued the call was merely ministerial.
If an L&M representative has made specific statements about what will happen if you do not pay, including mentions of liens, court costs, or accruing interest, document those statements. They may constitute a collection communication triggering your right to written validation.
The 2016 Castro Class Action
In Castro v. Lloyd & McDaniel, PLC (S.D. Indiana, Case No. 1:15-cv-00559-TWP-DML), a class action against L&M and PCA Acquisitions for FDCPA violations in collection letters was settled and approved by the court in February 2016. The case documents L&M’s role collecting purchased credit card debt portfolios on behalf of debt buyers.
Paid in Full, Judgment Not Removed
A documented CFPB complaint describes a consumer who paid L&M in full and was told the judgment would be removed from their credit report within 14 days. The judgment remained. L&M failed to respond adequately when the consumer followed up.
After paying any L&M judgment, request written confirmation of satisfaction of judgment filed with the court and a release of any liens recorded against your property before considering the matter closed. Payment alone does not automatically remove a judgment from public records or credit reports.
Wage Garnishment at Wrong Address
A documented CFPB complaint describes L&M having the wrong address for a consumer throughout the collection process and proceeding to wage garnishment without ever successfully notifying the consumer. When the consumer discovered the garnishment and contacted L&M to stop it and set up payments, L&M refused.
If L&M has garnished wages and you were never notified because they had an incorrect address, document the correct and incorrect addresses and contact a Kentucky consumer attorney. A garnishment executed without proper notice may be challengeable.
What Lloyd & McDaniel Cannot Do Under Federal Law
Based on their documented case and complaint record:
- Sue without verifying a disputed debt: A documented June 2025 complaint. FDCPA Section 1692g(b) requires verification before collection resumes.
- Use a hardship letter as a legal answer: A documented CFPB complaint. A financial situation letter is not a substitute for proper service or a formal court filing.
- Skip written validation notice after a collection communication: The Keller case addresses whether a verbal collection conversation triggers the Section 1692g five-day requirement.
- Fail to remove a judgment after payment and a promise to do so: A documented CFPB complaint. Court-filed satisfaction of judgment is the only enforceable record.
- Garnish wages when the consumer’s address was wrong throughout: A documented complaint. Proper service requires actually reaching the consumer.
Verify the Debt Before Paying Anything
Send a written validation request by certified mail within 30 days of first contact. Request the original creditor’s name, the account number, the balance at charge-off, the complete chain of assignment if the debt was purchased, and the name of the current debt owner L&M is representing. If L&M has filed a lawsuit, respond before the deadline and raise any FDCPA violations as counterclaims.
How to Find L&M on Your Credit Report
Check your credit reports for “Lloyd McDaniel” and “Lloyd & McDaniel PLC.” If a judgment appears from a case you were not notified about, contact a Kentucky consumer attorney immediately. Judgments obtained without proper service are challengeable through the court that issued them.
Your Options Before Paying or Responding
Given L&M’s documented patterns of filing suits without verifying disputes and moving quickly to garnishment, these steps matter before engaging:
- Respond to any summons before the deadline: L&M files regularly in Kentucky and Indiana and pursues default judgments. Filing an answer preserves your right to raise the FDCPA dispute-filing violation and proper service issues.
- Request written satisfaction of judgment after paying in full: The documented complaint shows L&M promising credit report removal after payment and not following through. Court-filed satisfaction is the only enforceable record.
- Document any verbal statement about liens, interest, or court costs: The Keller case hinges on whether such a call constitutes a collection communication. Date, time, and exact language matter.
- File with the Kentucky AG in addition to CFPB: The Kentucky Attorney General’s Consumer Protection Division accepts complaints at (888) 432-9257.
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How to Contact Lloyd & McDaniel
- Address: Lloyd & McDaniel, PLC, 700 N Hurstbourne Parkway, Suite 200, Louisville, KY 40222
- Mailing address: P.O. Box 23200, Louisville, KY 40222
- Phone: (866) 548-2486 or (502) 425-4430
Bottom Line
Lloyd & McDaniel is an active collection law firm that files suits, pursues default judgments, and moves to wage garnishment quickly. A June 2025 complaint documents L&M filing a lawsuit six weeks after receiving a consumer’s written dispute with no verification sent first. A separate complaint shows L&M using a general hardship letter as a legal answer to an unserved lawsuit to obtain a default judgment.
Respond to any summons before the deadline and preserve any written dispute documentation as a potential FDCPA counterclaim. After paying, get written satisfaction of judgment filed with the court before considering the matter resolved.
Brooke Banks is a personal finance writer specializing in credit, debt, and smart money management. She helps readers understand their rights, build better credit, and make confident financial decisions with clear, practical advice.