Debt Relief Industry In The News

Former TASC Executive Director Says Legal Helpers Debt Resolution is Awesome and Will Stay the Course

Despite the growing number of lawsuits against Legal Helpers Debt Resolution they stand by their services. In a press release sent out recently they appear to believe the wave of recent lawsuits naming then is an unfair witch hunt, is political and profit-driven and damn the suits, it’s business as usual.

“We are a law firm, the first truly national consumer law firm in the country,” said Jason Searns, Managing Attorney. “We recognize that consumers need alternative debt resolution options, such as financial workouts with their creditors, and we will not let lawsuits intimidate us or our clients into a different course of action.” – Source

The press release also offers up what appears to be the biggest disconnect with the reality I’m hearing from consumers when it says:

Today, LHDR clients have a significantly higher chance of succeeding and achieving better results with their creditors, in part because LHDR stands behind their clients through every step of their debt resolution program.

“We have engaged the finest counsel in the country as our legal team to defend our interest as a law firm to provide services to our clients,” said Searns. “We continue to spread the message that our program and services are best, both through our response to these lawsuits and through more public education campaigns.”

This press release is attributed to David Leuthold, the former executive director of The Association of Settlement Companies. Leuthold goes on to say that Legal Helpers Debt Resolution is involved in debt resolution, bankruptcy, debt management, tax settlement, foreclosure defense and mortgage loan modification.


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READ  Tipster Wonders, How Does Legal Helpers Debt Resolution Avoid Legal Fee Splitting?

About the author

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.

56 Comments

  • Molly,

    Wow, now that’s a stretch of which none is true.

    I invite you to read the full story which I published a long time ago. Click here to read it.

    Let me tackle the points that you made.

    Assertion: I charged millions.
    Answer: Not true.

    Assertion: “Join this program with Damon Day.”
    Answer: I have no program and I have no program with Damon Day.

    Assertion: California spent $25,000 to put him and his co-horts out of business.
    Answer: Not true.

    I don’t mind getting put in the spotlight but at least you need to tell the truth.

    By the way, your email address goes to a newspaper distribution company. Is that who you claim to be an investigator for?

    Steve

  • Rebecca, My name is Molly J. and I live in Riverside CA. I work to expose frauds in the consumer finance world.

    Be weary with working with STEVE RHODE.. He was CONVICTED OF RUNNING AN ILLEGAL SCAM IN CALIFORNIA. The state of CA spent over $25,000 to put him and his co-horts out of business.

    Steve Rhode charged millions to consumers to pay there bills. After he helps you with LHDR and your all puckered up he will go for the Kill and ask you to join his program with Damon Day.

    Google…. Steve Rhode Cease And Desist…

    When steve replies notice how pissed he is when he gets put in the spotlight.

    Molly J.
    Head Investigator
    Consumer Resource Network Of RC

  • Press Release Friday

    Headline

    Steve Rhode Get Out Of Debt Black Past

    NY TIMES Baby…. Get Ready To Burn Bitch!

  • Press Release Friday

    Headline

    Steve Rhode Get Out Of Debt Black Past

    NY TIMES Baby…. Get Ready To Burn Bitch!

  • Here is the answer from Andrew Houser:

    “We refer a very small percentage of inquiries to CNI (which makes an independent underwriting decision about whether or not to enroll the applicants). If any of these customers are enrolled by CNI, they are enrolled in a No Advance Fee structure, without exception.

    The vast majority of customers that inquire about our services and enroll in a DS program are serviced by FDR’s own backend servicing, and we do not, under any circumstance, charge Advance Fees.”

  • See if you can call Discover tomorrow and let me know what they say.I still want to see you get your money back and make sure they don’t draft your account again.

  • So far this has gone very well. I called three cards who had gotten letters from Legal Helpers but it did not affect my accounts. They were agreeable to a verbal agreement from me that LH did not represent me. Unfortunately Discover card offices are closed today so I will have to wait until tomorrow to contact them. It was a great relief that the three are in good standing!

  • I’d call the customer service numbers on the cards right now. Let’s find out how widespread the damage is or isn’t. Let me know.

  • Thanks for the excellent reply. I will contact them again and follow up on whether or not they issued notice to my cards that I’m not in debt resolution with them. I think I’ll also call my cards personally to be sure that they don’t close my accounts.

    I’m an administrative assistant so the certified mail came naturally to me 🙂 I also can keep my temper in check when dealing with this kind of problem because I have aLOT of experience from work!

  • The bigger issue here is we don’t want any of those cards to close your account. That will negatively impact your credit score. So yes, contacting all of them and making sure your account is open and in good standing is paramount.

    Excellent job on sending the cancellation by certified return receipt requested mail. That is going to be VERY helpful.

    Include a copy of the proof of cancellation in your next letter to LHDR. Give them a time limit to fix it by and give you your full refund, say two weeks. If they don’t then unleash your complaint bomb.

    Give them a fair chance to repair this mess and if they don’t then complain every place you can. In cases like this, the squeaky wheel really does get results.

  • Thank you for the quick reply! It’s kind of nice to know I’m not alone. I have proof that I cancelled before the contract was in effect — I sent the cancellation by certified mail with a return receipt. A representative from their office signed it clearly before the contract would have been in effect. LH has admitted that the contract was not in effect. They just haven’t refunded my payment in full.

    I had already thought about contacting out Attorney General — I hadn’t thought about the Bar Assn. I think my next step will be to contact Discover and attempt to work with them since I had already made a payment. I have three other credit cards, but I don’t use them. Should I be concerned about them? None of them have been used for a few years. However, even though I have tons of debt, I do have an excellent credit rating and don’t want to hurt that at this point.

  • Rebecca,

    I’m not sure what to say. It sounds like you got the short end on this deal.

    Do you have some proof of the Legal Helpers termination? Something that you can use to show Discover you quickly changed your mind before Legal Helpers notified Discover?

    That damage is a hard one to unwind. It is not unusual for a creditor to have such a process once they get the representation letter.

    I also can’t see any reason why they kept $630 unless the contract you signed did not have a 72 hour cancellation policy. Did it. Do you have a copy of the agreement?

    Just a few days ago Legal Helpers Debt Resolution put out a press release saying they put their clients first, read this but it seems your experience was very different.

    The next step I’d suggest is to follow my refund process you can find here.

    The important parts of the process here are for you to lay out your case in a detailed way and show that you cancelled and would like a refund back and your creditors should not have been notified. Let LHDR know that if they will not help you out with that you will be filing complaints with the Bar Association, BBB, your state Attorney General office and the Illinois Attorney General.

    The Illinois Attorney General recently sued Legal Helpers Debt Resolution, you can read more about the case here.

  • Don’t get involved with Legal Helpers!!! I made the mistake of signing their contract — I had second thoughts and sent a cancellation letter the next day (overnight delivery). Over a week later they withdrew their first payment from my checking account. Obviously something I couldn’t afford since I was still paying on my credit cards. I called and asked for a refund. They refunded $160 out of $790 taken from my account. I called them to complain two weeks ago — they promised a full refund and I still haven’t seen it.

    Then last week I received a notice from Discover Card that my account was frozen because Legal Helpers had notified them that I wouldn’t pay my debts. I had already paid Discover for the month! I called LH and asked them to contact my credit accounts to notify them that they didn’t represent me — I doubt very much they will do this. I’m at a point where I really don’t know what to do. I legally cancelled my contract before it was in force and still can’t seem to get out of this mess they have created. I’m just at a loss at what to do.

  • Don’t get involved with Legal Helpers!!! I made the mistake of signing their contract — I had second thoughts and sent a cancellation letter the next day (overnight delivery). Over a week later they withdrew their first payment from my checking account. Obviously something I couldn’t afford since I was still paying on my credit cards. I called and asked for a refund. They refunded $160 out of $790 taken from my account. I called them to complain two weeks ago — they promised a full refund and I still haven’t seen it.

    Then last week I received a notice from Discover Card that my account was frozen because Legal Helpers had notified them that I wouldn’t pay my debts. I had already paid Discover for the month! I called LH and asked them to contact my credit accounts to notify them that they didn’t represent me — I doubt very much they will do this. I’m at a point where I really don’t know what to do. I legally cancelled my contract before it was in force and still can’t seem to get out of this mess they have created. I’m just at a loss at what to do.

    • Rebecca,

      I’m not sure what to say. It sounds like you got the short end on this deal.

      Do you have some proof of the Legal Helpers termination? Something that you can use to show Discover you quickly changed your mind before Legal Helpers notified Discover?

      That damage is a hard one to unwind. It is not unusual for a creditor to have such a process once they get the representation letter.

      I also can’t see any reason why they kept $630 unless the contract you signed did not have a 72 hour cancellation policy. Did it. Do you have a copy of the agreement?

      Just a few days ago Legal Helpers Debt Resolution put out a press release saying they put their clients first, read this but it seems your experience was very different.

      The next step I’d suggest is to follow my refund process you can find here.

      The important parts of the process here are for you to lay out your case in a detailed way and show that you cancelled and would like a refund back and your creditors should not have been notified. Let LHDR know that if they will not help you out with that you will be filing complaints with the Bar Association, BBB, your state Attorney General office and the Illinois Attorney General.

      The Illinois Attorney General recently sued Legal Helpers Debt Resolution, you can read more about the case here.

      • Thank you for the quick reply! It’s kind of nice to know I’m not alone. I have proof that I cancelled before the contract was in effect — I sent the cancellation by certified mail with a return receipt. A representative from their office signed it clearly before the contract would have been in effect. LH has admitted that the contract was not in effect. They just haven’t refunded my payment in full.

        I had already thought about contacting out Attorney General — I hadn’t thought about the Bar Assn. I think my next step will be to contact Discover and attempt to work with them since I had already made a payment. I have three other credit cards, but I don’t use them. Should I be concerned about them? None of them have been used for a few years. However, even though I have tons of debt, I do have an excellent credit rating and don’t want to hurt that at this point.

        • The bigger issue here is we don’t want any of those cards to close your account. That will negatively impact your credit score. So yes, contacting all of them and making sure your account is open and in good standing is paramount.

          Excellent job on sending the cancellation by certified return receipt requested mail. That is going to be VERY helpful.

          Include a copy of the proof of cancellation in your next letter to LHDR. Give them a time limit to fix it by and give you your full refund, say two weeks. If they don’t then unleash your complaint bomb.

          Give them a fair chance to repair this mess and if they don’t then complain every place you can. In cases like this, the squeaky wheel really does get results.

          • Thanks for the excellent reply. I will contact them again and follow up on whether or not they issued notice to my cards that I’m not in debt resolution with them. I think I’ll also call my cards personally to be sure that they don’t close my accounts.

            I’m an administrative assistant so the certified mail came naturally to me 🙂 I also can keep my temper in check when dealing with this kind of problem because I have aLOT of experience from work!

          • So far this has gone very well. I called three cards who had gotten letters from Legal Helpers but it did not affect my accounts. They were agreeable to a verbal agreement from me that LH did not represent me. Unfortunately Discover card offices are closed today so I will have to wait until tomorrow to contact them. It was a great relief that the three are in good standing!

          • See if you can call Discover tomorrow and let me know what they say.I still want to see you get your money back and make sure they don’t draft your account again.

          • Rebecca, My name is Molly J. and I live in Riverside CA. I work to expose frauds in the consumer finance world.

            Be weary with working with STEVE RHODE.. He was CONVICTED OF RUNNING AN ILLEGAL SCAM IN CALIFORNIA. The state of CA spent over $25,000 to put him and his co-horts out of business.

            Steve Rhode charged millions to consumers to pay there bills. After he helps you with LHDR and your all puckered up he will go for the Kill and ask you to join his program with Damon Day.

            Google…. Steve Rhode Cease And Desist…

            When steve replies notice how pissed he is when he gets put in the spotlight.

            Molly J.
            Head Investigator
            Consumer Resource Network Of RC

          • Molly,

            Wow, now that’s a stretch of which none is true.

            I invite you to read the full story which I published a long time ago. Click here to read it.

            Let me tackle the points that you made.

            Assertion: I charged millions.
            Answer: Not true.

            Assertion: “Join this program with Damon Day.”
            Answer: I have no program and I have no program with Damon Day.

            Assertion: California spent $25,000 to put him and his co-horts out of business.
            Answer: Not true.

            I don’t mind getting put in the spotlight but at least you need to tell the truth.

            By the way, your email address goes to a newspaper distribution company. Is that who you claim to be an investigator for?

            Steve

  • Yes, Century Negotiations is absolutely owned by Dave Leuthold. I’m beyond curious as to how and why TASC would have anything to do with a creep like Leuthold. What happened to TASC only supporting the NAF models? Freedom at one point was providing CNI business but not certain as to what their current relationship is. Hopefully it’s only time before Leuthold and LHDR are absent from the DS world. How can these clowns sleep at night?

  • Yes, Century Negotiations is absolutely owned by Dave Leuthold. I’m beyond curious as to how and why TASC would have anything to do with a creep like Leuthold. What happened to TASC only supporting the NAF models? Freedom at one point was providing CNI business but not certain as to what their current relationship is. Hopefully it’s only time before Leuthold and LHDR are absent from the DS world. How can these clowns sleep at night?

  • i suppose it would not shock me if Freedom did not – does not do their own back end stuff.
    it would just take um down a notch in my book.

  • I could be wrong, but I’m relatively certain I recall a time that Century was listed on their contracts.

  • If their clients have a higher chance of succeeding today, then what did they have yesterday? If they think their contract is providing consumers a high chance of success then they must not have a fundamental understanding of how the debt settlement process works. Pretty scary.

    What did you expect from a former TASC president? Some things never change.

  • If their clients have a higher chance of succeeding today, then what did they have yesterday? If they think their contract is providing consumers a high chance of success then they must not have a fundamental understanding of how the debt settlement process works. Pretty scary.

    What did you expect from a former TASC president? Some things never change.

  • okay. thanks. i just didnt know that freedom used an outside resource for back end either in the past or currently. i thought they did all their own settlements.

  • Well thats about all I know- I have nothing against him- I know Freedom has decided to comply with TSR & I think that’s great. I know with the whole TASC thing there are bound to be relationships there and I was just wondering if Freedom still used Century- especially now if Century is working for LHDR, a big competitor……

      • Well thats about all I know- I have nothing against him- I know Freedom has decided to comply with TSR & I think that’s great. I know with the whole TASC thing there are bound to be relationships there and I was just wondering if Freedom still used Century- especially now if Century is working for LHDR, a big competitor……

        • okay. thanks. i just didnt know that freedom used an outside resource for back end either in the past or currently. i thought they did all their own settlements.

          • I could be wrong, but I’m relatively certain I recall a time that Century was listed on their contracts.

          • i suppose it would not shock me if Freedom did not – does not do their own back end stuff.
            it would just take um down a notch in my book.

          • Here is the answer from Andrew Houser:

            “We refer a very small percentage of inquiries to CNI (which makes an independent underwriting decision about whether or not to enroll the applicants). If any of these customers are enrolled by CNI, they are enrolled in a No Advance Fee structure, without exception.

            The vast majority of customers that inquire about our services and enroll in a DS program are serviced by FDR’s own backend servicing, and we do not, under any circumstance, charge Advance Fees.”

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