Steven Vanderhoof Defaults on Settlement for Credit Exchange

A tipster (send in your tips here) has just alerted me that Steven Vanderhoof, of The Credit Exchange fame, was just recently sued for non-payment of a settlement agreed to in the Hess Kennedy bankruptcy.

Vanderhoof’s lead generation company was sued by the receiver in the Hess Kennedy bankruptcy to claw back money paid for marketing services.

Under the terms of the agreement The Credit Exchange agreed to repay Sixteen Million, Three Hundred Eighty Eight Thousand, Eight Hundred Twenty Dollars and Three Cents ($16,388,820.03) to the receiver. – Source

As part of that deal The Credit Exchange and Vanderhoof agreed that as long as payments were made that the executed stipulated judgment would not be filed.

According to the suit, “Vanderhoof, although not a party to the above referenced litigation, agreed to give a limited personally guaranty of the performance owed by Credit Exchange, including its payment obligation, pursuant to the Settlement Agreement, by providing his own Limited Guaranty.”

And the records show Steven Vanderhoof did indeed sign a personal limited guaranty for part of the settlement amount. – Source

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It is stated in the complaint that The Credit Exchange failed to make the agreed monthly payments beginning in December of 2010. The receiver then attempted to get the payments but was unsuccessful. The Credit Exchange has not made any further payments since then.

Subsequently Steven Vanderhoof received a final demand letter from the receiver (source) but that demand has gone unpaid as well.

The suit says that Steven Vanderhoof needs to personally pay $437,500.00 that he guaranteed plus legal fees and all costs to collect. – Source

A number of people have told me that after Vanderhoof closed down his Credit Exchange operation and left his past employees high and dry with back owed wages (source) that he became the VP of Marketing for Legal Helpers Debt Resolution in Chicago.

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But it looks like Vanderhoof’s guaranty problems don’t end there. In March of 2011 he was sued by a leasing company for a lease he personally guaranteed at The Credit Exchange.

The suit is asking for $119,791 plus attorneys fees plus eighteen percent interest on the unpaid balance. – Source

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