Thanks to a great tipster (send in your tips here) I learned today that Morgan Drexen sent out a press release that was unbelievable.
Debt settlement company Morgan Drexen was against nearly everything the FTC was working on in the proposed telemarketing sales rules. Even the Federal trade Commission says so in their final document. “One industry member [Morgan Drexen] opposed virtually the entire proposal…” – Source
So what are we to make out of today’s press release from Morgan Drexen that says:
From October 27th, new regulations will prevent debt settlement firms from charging up front fees.
General Counsel for Morgan Drexen, Inc. Jeffrey Katz says, “ These regulations are a step towards protecting consumers and here at Morgan Drexen we encourage stringent regulations, which will prove to be challenging for these dishonorable companies.”
Morgan Drexen CEO Walter Ledda is cheering on any regulations that protect the consumer. “Why would you withhold information as to how long it will take to make a consumer debt free? We support the idea of giving certain information freely. As part of the disclosure used by the attorneys we support this information is given upon request. These new regulations will certainly get rid of those companies who are not helping consumers, but lining their own pockets.” – Source
Are we to forget Morgan Drexen fought against these new rules? It will certainly be interesting to see how they implement these new rules and if they denounce the attorney model where consumers may still be charged front loaded fees instead of being charged when services are delivered as the FTC says in the new rules.
I’ve emailed Morgan Drexen to ask, let’s see if they respond.
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