Latest Posts
Home > Ask The Get Out of Debt Experts > GHS Solutions Bails on Consumers But Wants Higher Monthly Fee. – Carol

GHS Solutions Bails on Consumers But Wants Higher Monthly Fee. – Carol

“Dear Steve,

In the spring of 2011 I was concerned about carrying debt into my retirement. I received an unsolicited letter about a federal program that was being offered in Maryland for persons with at least $10,000 in debt. I had about $24,000 credit card debt.

I was contacted by 4-5 companies, one of them was GHS Solutions. I had never arranged for such services before, and am naturally skeptical. I was contacted by GHS many times by phone and reminded that there was a time limit on how long this federal opportunity would be available. When I was still slow to repond passed an initial committment, I was contacted by a company manager – not a sales rep.

I signed the contract which started the withdrawals from my checking account, but did not complete any subsequent requests for paperwork. I did not sign or return the power of attorney document. GHS reminded me in several lettters to complete and return the document so that they could begin their work. I did not.

GHS has withdrawn approximately $389.00 p/month since about June 2011. At first I received a statement indicating the withdrawal and the amounts that were allocated to GHS fees and the amount accumulating to paying my outstanding debts – about $100.00 p/month. After a ferw months I realized that i would not need GHS to resolve the debt. I was able to arrange interest levels which would allow my to pay the entire debt within 3 years.

However, I dragged my feet about notifying GHS that I was withdrawing from the program and am still a GHS client and they continue to withdraw money from my account. Now that they have an on-line account management sertvices I do not receive a statement in the mail, nor by e-mail.

Today I received a 2-page letter from GHS. Paragraph 2 ends with ” Unforntunately the pratical econmic effect of the new regulations has prevented GHS from accepting any ‘new’ customers after October 27, 2010.” Paragraph 4 ends with “.. we have spent the last several months attempting to identify a partner or merger candidate..we have not succeed.” Paragraph 5 “We have recently entered into an agreement where a third-party business process services company will take over our internal operations.” The letter goes on to announce a higher monthly service fee which will be decucted “With your approval..”

1. Does this mean that GHS has “sold” my arrangements with them to a third party?

2. How could I become a GHS custormer in 2011 if they were prevented from accepting new accounts after 10/27/2010?

I assume I will need the services of a lawyer to resign from customer status, particularly to receive the full amount withdrawn by GHS from my account.

Thanks,

Carol Ann”

Don’t miss our free Get Out of Debt – “How To” Guide Series on a number of topics, for loads of practical advice, tips, and help to beat back debt. – Click Here

The Answer

Dear Carol Ann,

That certainly is a confusing letter. But luckily for you, you only recently enrolled.

You will not need the services of a lawyer to withdraw. But what you will prudently need to do to prevent further withdrawals is to change your bank account number with your bank. While a simple notice should have done or do the trick, it sounds like things are in a state of flux at GHS Solutions and I’m not at all confident your notice will be properly recorded. The last thing you probably want to deal with is another errant withdrawal.

From what you’ve shared it sounds like GHS Solutions is bailing on their clients and either selling their customer base or contracting it out to a third party to service. At the same time they are asking their for more money while they appear to be providing less services.

Your funds should have been deposited with a third party escrow company like Global Client Solutions or NoteWorld. Since GHS Solutions is prevented from deducting any fees until they provide the service, all your funds should be there for you to reclaim. Please contact your escrow company.

If you can, please forward me a copy of that letter you got to [email protected]

Please post your responses and follow-up messages to me on this in the comments section below.

Big Hug!

GHS Solutions Bails on Consumers But Wants Higher Monthly Fee.   Carol
Get Out of Debt Guy – Twitter, G+, Facebook

If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.

GHS Solutions Bails on Consumers But Wants Higher Monthly Fee. - Carol by

Share This and Spread the Word

About Steve Rhode

Steve Rhode
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
  • Mallen

    I am completely disgusted with GHS. 
    They lure you in with promises and then fail to deliver.  I
    followed their instructions to the letter and got nowhere.  I
    received a subpoena for court after they failed to communicate with
    one of my creditors and upon calling, I was told the legal department
    would respond and handle the response to the court for me.  I
    was very skeptical as they had not taken care of their job to that
    point so I called on day 15 of the 20 I had to reply to the court and
    low and behold; nothing had happened. I then took swift action as I
    was scared to death and negotiated a settlement of 40% on my own and
    within 5 days I was paid off on my major creditor.  After
    negotiating my own settlement for one of my two accounts, I then
    turned my attention to my remaining debt.  GHS transferred with
    my consent an additional sum which they were certain was enough to
    pay my remaining creditor.  I was told they would be settled
    within 10 days.  Now here I am one full month later, 25 phone
    calls, 10 disconnects (that’s what they say), and 2 hang ups by
    supervisor (Jason, who is located in Costa Rica along with their call
    center) with nothing.  The phone reps can only assure me they
    are working on it and give me grief over demanding a supervisor. 
    After speaking with a supervisor he tells me the collection agency
    was let go by my creditor and a new third party was not yet
    assigned.  I asked why nobody else could tell me that as I spoke
    with 6 people since the debt recall had taken place.  Of course
    Jason had no answer for my question and let me know all the reps are
    very well trained.  I asked Jason to own my issue since they
    have the money to settle and could get rid of me forever, however
    Jason refused to do so as this would make him too busy.  His
    exact words were, “imagine if all our clients asked me to do
    this.”   What a joke!  25 calls and nobody wants
    to get this settled and done; then I realized I’m coming up on
    another monthly payment due.  In order to avoid another payment,
    I called my credit card myself to negotiate as I knew they would
    certainly do whatever they could to get their money.  I was
    promptly transferred to another area which ended up being the new
    debt collector.  Here is where it gets really good!  The
    new debt collector (ESA Processing) is actually a larger portion of
    the company which owns GHS!  The debt which was to be settled
    was being managed in house with GHS!!!  The kicker to all of
    this is the merger of GHS took place in August 2011 and here we are
    in November and GHS people (again in Costa Rica) had no idea! 
    How could they even begin to help if they don’t even realize their
    parent company owns the debt!  So after talking with ESA, I was
    ensured my account would be settled in 24 hours.  I immediately
    received and offer via email and I called GHS back as the ESA rep
    stated I had to work through them.  After 2 more phone cutoffs,
    I finally get a rep and state I have an offer and I would like to
    accept the settlement and have them paid within 4 days.  The
    offer was $189.95 more than what I had saved with GHS, which the rep
    was quick to let me know about.  After confirming (for the
    second time as I let her know immediately upon answering) I wanted to
    have her draft the money out of my account and pay the creditor; I
    was placed on hold.  Guess who answered?  Jason, my
    supervisor who hung up on me just an hour earlier.  I managed to
    do in 1 hour what they couldn’t do in a month.  Jason informed
    me I didn’t have enough money and so for the 3rd time I once again
    explained what needed to happen (funny when I transferred a lump sum
    of 1000.00, I had no trouble). Jason asked to record the
    conversation, which is standard and I agreed.  Jason agreed to
    take money from my account (his math was 60.00 off to the low side so
    we still wouldn’t be able to settle) and then they would settle by
    November 18 (which is the day after another payment would be drafted
    from me!).  I let Jason know first his math was wrong and second
    the account needs to be settled in 4 days (in order to have enough
    time to cancel my direct draft they would take, which would leave me
    fighting them for 300.00 later).  Jason got an immediate
    attitude and said he would take the money and process the payment. 
    When I asked how much he was going to be drafted since his math was
    wrong I was given the response of, “Why don’t you tell me!”. 
    As you can imagine, I was shocked as a company was going to take
    money and couldn’t / wouldn’t tell me how much.  After demanding
    to know how much would be taken Jason told me he could do the math
    and then hung up on me!  I know from experience by the
    previously mentioned draft of 1000.00, 24 hours could not happen as
    the promise of my money being taken in 24 hours is incorrect because
    it takes 48 hours to process (apparently he didn’t know or didn’t
    care as he assured me the money would be gone).  So now I will
    have to follow up with 3 or 4 calls tomorrow to confirm amount and
    date for withdraw and when my settlement will be mailed.  So to
    sum this up; I’ve paid GHS over 1000.00 in fees and they’ve done
    absolutely nothing!  I almost went to court, I settled both
    debts myself (for the same % as they promise, and I may lose a very
    good job opportunity as I have this lingering debt which should be
    gone as of 2 weeks ago.  To say I’m very unhappy is a severe
    understatement and I am now know all they desire is to get rich off
    of hurting people.  The underlying question is why are we
    calling Costa Rica when Americans need jobs, but again we know it’s
    all about the mighty dollar! 

    • http://GetOutOfDebt.org Steve Rhode

      You mentioned ESA but do you really mean EFA?

  • Mallen

    I am completely disgusted with GHS. 
    They lure you in with promises and then fail to deliver.  I
    followed their instructions to the letter and got nowhere.  I
    received a subpoena for court after they failed to communicate with
    one of my creditors and upon calling, I was told the legal department
    would respond and handle the response to the court for me.  I
    was very skeptical as they had not taken care of their job to that
    point so I called on day 15 of the 20 I had to reply to the court and
    low and behold; nothing had happened. I then took swift action as I
    was scared to death and negotiated a settlement of 40% on my own and
    within 5 days I was paid off on my major creditor.  After
    negotiating my own settlement for one of my two accounts, I then
    turned my attention to my remaining debt.  GHS transferred with
    my consent an additional sum which they were certain was enough to
    pay my remaining creditor.  I was told they would be settled
    within 10 days.  Now here I am one full month later, 25 phone
    calls, 10 disconnects (that’s what they say), and 2 hang ups by
    supervisor (Jason, who is located in Costa Rica along with their call
    center) with nothing.  The phone reps can only assure me they
    are working on it and give me grief over demanding a supervisor. 
    After speaking with a supervisor he tells me the collection agency
    was let go by my creditor and a new third party was not yet
    assigned.  I asked why nobody else could tell me that as I spoke
    with 6 people since the debt recall had taken place.  Of course
    Jason had no answer for my question and let me know all the reps are
    very well trained.  I asked Jason to own my issue since they
    have the money to settle and could get rid of me forever, however
    Jason refused to do so as this would make him too busy.  His
    exact words were, “imagine if all our clients asked me to do
    this.”   What a joke!  25 calls and nobody wants
    to get this settled and done; then I realized I’m coming up on
    another monthly payment due.  In order to avoid another payment,
    I called my credit card myself to negotiate as I knew they would
    certainly do whatever they could to get their money.  I was
    promptly transferred to another area which ended up being the new
    debt collector.  Here is where it gets really good!  The
    new debt collector (ESA Processing) is actually a larger portion of
    the company which owns GHS!  The debt which was to be settled
    was being managed in house with GHS!!!  The kicker to all of
    this is the merger of GHS took place in August 2011 and here we are
    in November and GHS people (again in Costa Rica) had no idea! 
    How could they even begin to help if they don’t even realize their
    parent company owns the debt!  So after talking with ESA, I was
    ensured my account would be settled in 24 hours.  I immediately
    received and offer via email and I called GHS back as the ESA rep
    stated I had to work through them.  After 2 more phone cutoffs,
    I finally get a rep and state I have an offer and I would like to
    accept the settlement and have them paid within 4 days.  The
    offer was $189.95 more than what I had saved with GHS, which the rep
    was quick to let me know about.  After confirming (for the
    second time as I let her know immediately upon answering) I wanted to
    have her draft the money out of my account and pay the creditor; I
    was placed on hold.  Guess who answered?  Jason, my
    supervisor who hung up on me just an hour earlier.  I managed to
    do in 1 hour what they couldn’t do in a month.  Jason informed
    me I didn’t have enough money and so for the 3rd time I once again
    explained what needed to happen (funny when I transferred a lump sum
    of 1000.00, I had no trouble). Jason asked to record the
    conversation, which is standard and I agreed.  Jason agreed to
    take money from my account (his math was 60.00 off to the low side so
    we still wouldn’t be able to settle) and then they would settle by
    November 18 (which is the day after another payment would be drafted
    from me!).  I let Jason know first his math was wrong and second
    the account needs to be settled in 4 days (in order to have enough
    time to cancel my direct draft they would take, which would leave me
    fighting them for 300.00 later).  Jason got an immediate
    attitude and said he would take the money and process the payment. 
    When I asked how much he was going to be drafted since his math was
    wrong I was given the response of, “Why don’t you tell me!”. 
    As you can imagine, I was shocked as a company was going to take
    money and couldn’t / wouldn’t tell me how much.  After demanding
    to know how much would be taken Jason told me he could do the math
    and then hung up on me!  I know from experience by the
    previously mentioned draft of 1000.00, 24 hours could not happen as
    the promise of my money being taken in 24 hours is incorrect because
    it takes 48 hours to process (apparently he didn’t know or didn’t
    care as he assured me the money would be gone).  So now I will
    have to follow up with 3 or 4 calls tomorrow to confirm amount and
    date for withdraw and when my settlement will be mailed.  So to
    sum this up; I’ve paid GHS over 1000.00 in fees and they’ve done
    absolutely nothing!  I almost went to court, I settled both
    debts myself (for the same % as they promise, and I may lose a very
    good job opportunity as I have this lingering debt which should be
    gone as of 2 weeks ago.  To say I’m very unhappy is a severe
    understatement and I am now know all they desire is to get rich off
    of hurting people.  The underlying question is why are we
    calling Costa Rica when Americans need jobs, but again we know it’s
    all about the mighty dollar! 

Get My FREE Get Out of Debt Guy Newsletter

It is the smart thing to do.

I promise to keep your email safe and secure.

Close

I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.

You can unsubscribe at any time with just one click.

After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.


  • It will keep you posted on the latest scams.
  • You will be alerted to the latest articles.
  • You will wind up smarter than everyone else dealing with debt.