Here is a secret shopper call I made to a group that presents themselves as a company that is backed by attorneys, which I could not confirm, and they claim they are only registered in two states. They also charge a 10% fee based on the amount of debt, 100% up-front.
Highlights From the Call
- I can pick and choose which creditors you want in the program.
- Stop paying the creditors when you enter the program.
- The goal is to trick creditors into tripping over collection laws.
- Creditors settle for between 20%-30%
- Costs 10% of original debt up-front.
- They’ve never retained attorneys locally to settle out of court.
- Will contact credit bureaus regarding everything negative after debt is paid off.
- On $80,000 of debt the payments would be $800 a month for 10 months.
- I said I had Discover, Chase, American Express. Not a problem to work with.
- Would start working on my file right away.
- Chance I won’t have to pay the debt at all if the creditors are tripped up with collection law and disputing credit report information.
- If creditors won’t participate then they file suit. They’ve only filed 1 suit.
- Sales rep left me foggy on what the success rate of the program would be and could not specify what percentage of clients are successful.
- If creditors don’t violate the laws then I can keep making payments and settle the accounts latter.
- “We do settle the debt but we don’t call ourselves a settlement company.
- Later tells me they will settle accounts for 40%.
- They would not represent me but would give me paperwork to file if I got sued. They claim their success rate is higher if client represents themselves in court.
This approach clearly has them unabashedly charging 10% fee before they do any work. I do happen to have a copy of the agreement with this company and the agreement says it is a non-refundable fee.
What is also interesting about the agreement is that it is actually not between the consumer and an actual lawyer or verifiable law firm.
So what’s your vote on this call? Would you label them as FTC TSR complaint?
You are not alone. I'm here to help. There is no need to suffer in silence. We can get through this. Tomorrow can be better than today. Don't give up.
Do you have a question you'd like to ask me for free? Go ahead and click here.
I can always use your help. If you have a tip or information you want to share, you can get it to me confidentially if you click here.
- Plastic Pandemic: US Credit Card Debt Surges Nearly 20% in Q1 2021! - May 12, 2023
- The IRS Resumes Collections Notices: What You Need to Know Before It’s Too Late - May 12, 2023
- How Can I Deal With Payday Loan Debt? - May 12, 2023
Steve, I want to make sure comsumers are aware that this call was not to 2SettleMyDebt.com (or http://www.tosettlemydebt.com) We are a self help debt settlement website and do not have any intention of ever decieving consumers.
Steve, I want to make sure comsumers are aware that this call was not to 2SettleMyDebt.com (or http://www.tosettlemydebt.com) We are a self help debt settlement website and do not have any intention of ever decieving consumers.
Nearly all Debt settlement laws inc fed say youre a debt settlement co if you attempt to change any owed amount. Attorney exemptions in 80% of the states that have licensing apply only to attorneys that are not holding themselves out as debt settlers OR that happen to be involved ancillary to their main practice. Any attorney should be reported to AG, Judicial Complaint Dept, FTC & State Bar.
Until that happens, these bloodsuckers will continue to steal & I will continue to say I work in Debt Settlement “BUT IT’S NOT LIKE EVERYONE ELSE!!!!!!!!!” I feel compelled to qualify that statement EVREY time I make it.
….Someday.
Nearly all Debt settlement laws inc fed say youre a debt settlement co if you attempt to change any owed amount. Attorney exemptions in 80% of the states that have licensing apply only to attorneys that are not holding themselves out as debt settlers OR that happen to be involved ancillary to their main practice. Any attorney should be reported to AG, Judicial Complaint Dept, FTC & State Bar.
Until that happens, these bloodsuckers will continue to steal & I will continue to say I work in Debt Settlement “BUT IT’S NOT LIKE EVERYONE ELSE!!!!!!!!!” I feel compelled to qualify that statement EVREY time I make it.
….Someday.
If you settle debt but go out of your way to tell consumers you don’t call yourself a debt settlement company… You might be a loopholer!
If you settle debt but go out of your way to tell consumers you don’t call yourself a debt settlement company… You might be a loopholer!