Debt Relief Industry Sued or Sanctioned

Global Client Solutions Named in Yet Another Case. This Time With Alliance8, Freedom Financial Management, Richard Lenard.

The cases keep on coming against Global Client Solutions.

Here is one I just spotted that had been previously filed in state court but was just moved to federal court on May 6, 2011.

Mary Lord v. Alliance 8, Freedom Financial Management, Global Client Solutions, Rocky Mountain Bank & Trust, and Richard Lenard.

It appears the move was brought about by Richard Epstein of Greenspoon Marder who is representing Rocky Mountain Bank & Trust and Global Client Solutions. – Source

The original complaint says the Mary Lord is a 63 year old woman who found out about Alliance8, then Freedom Financial Management, after hearing a radio commercial. Her only source of income is $935 a month from Social Security Disability and $200 a month from a friend.

Freedom Financial Management sold Ms. Lord debt settlement services and included a letter from her attorney Richard Lenard who was to help her if she was sued by her creditors. Only one problem, he was not admitted to practice law in Michigan or California where the company was located.

Her monthly payments were $507 per month and she paid approximately $8,112 in total to Alliance8.

Alliance8 enlisted the help of Global Client Solutions to take the money each month from Ms. Lord.

Three of Ms. Lord’s creditors subsequently sued her and received judgments against her. Her believed lawyer, Lenard, never appeared in court on her behalf, nor allegedly negotiated with any of her creditors. – Source

So it clearly appears the debt settlement company knew Ms. Lord was living on Social Security Disability since they listed it as her employer and position held.

They clearly documented the woman paid $414 a month for rent and utilities and then calculated they would take $507 a month for her monthly debt settlement payment. By their own documentation this left the woman, unemployed for health reasons, $14 a month to live on.

Of the money Ms. Lord paid, the majority of it went to fees paid at the beginning of the program.

If more consumers come forward that were sold similar debt settlement programs, I bet Global Client Solutions is going to have their hands full of cases.

See also  Global Client Solutions & Rocky Mountain Bank & Trust, Good People Tangled in Some Bad Debt Settlement Business

Sincerly,
Steve

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.


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.




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.

14 Comments

  • Steve,
     
    Remember me? I told you they changed their name at the beginning of the year? I took your advice and followed the complaint system you gave me.
     
    Everyone that recieved a complaint in Arizona, pawned it off to California because they didn’t want to deal with it.
     
    I don’t have a job/money so I can not afford an honest lawyer, if the exist, so…
    Since the system is rotten from the top, down, I can only hope that enough people cause a ruckus to inflict a class action lawsuit.
     
    Like I said, I’ve done everything I can do at this point, but I want to say thank you for helping me Steve.
     
    Cheers and Respectfully,
    -a.s.

  • Mr. Lenard was disbarred in California back in November 2010.

    If you click on debt negotiation on Alliance 8’s website, it directs you to mydebt2none.com.  Credit restoration goes to another website with a different name.

    All of these “businesses” are at the same location.  And they have a habit of just changing names all the time.

    I am chasing them for stealing over $10,000 of funds never paid to creditors.  Senior citizens as well, and English is their second language.

  • Mr. Lenard was disbarred in California back in November 2010.

    If you click on debt negotiation on Alliance 8’s website, it directs you to mydebt2none.com.  Credit restoration goes to another website with a different name.

    All of these “businesses” are at the same location.  And they have a habit of just changing names all the time.

    I am chasing them for stealing over $10,000 of funds never paid to creditors.  Senior citizens as well, and English is their second language.

      • Steve,
         
        Remember me? I told you they changed their name at the beginning of the year? I took your advice and followed the complaint system you gave me.
         
        Everyone that recieved a complaint in Arizona, pawned it off to California because they didn’t want to deal with it.
         
        I don’t have a job/money so I can not afford an honest lawyer, if the exist, so…
        Since the system is rotten from the top, down, I can only hope that enough people cause a ruckus to inflict a class action lawsuit.
         
        Like I said, I’ve done everything I can do at this point, but I want to say thank you for helping me Steve.
         
        Cheers and Respectfully,
        -a.s.

Leave a Comment

Scroll to Top