I have a growing concern about a business called CLEAR BLUE DEBT SOLUTIONS who called me on December 6th in answer to my inquiry, having seen their advertisement on t.v. My story is this: In December, 1999 we had all our family home and I went into debt for that Christmas, not knowing that a mission’s trip I would take in January, 2000 would leave me permanently disabled. It took almost two years before I got an unconfirmed diagnosis because no biopsies were taken of BUG BITES I got in Chiapas but I am not permanently disabled and on a small disability pension, struggling to eliminate this debt (which I’ve probably paid for 12x with 29.9% interest).
Is this a legitamate business?!? I tried calling to confirm receipt of a NOTICE OF RESCISSION I sent by email which, if sent within the first 3 days of signing the agreement, I could do without penalty or obligation, I was told. I am getting a run-around, no one calling me back, and all I want is confirmation my agreement is being rescinded. When I thought my $5,254 debt was going to be reduced to $1,340 – $2364 and reduced to zero in 23 months, I was hopeful and excited though I did admit to being very uncomfortable with defaulting on my Sears and Zellers credit cards as I am honest and have prided myself in working hard to keep good credit.
Thank you for posting your agreement for me to review. I’d suggest you send your cancellation letter by physical mail with some proof they received it. Since I’m assuming you are in Canada since you are using a Canadian company you can use the Registered mail service provided by Canada Post. Use their delivery confirmation tracking service.
A couple of issues jumped out at me as I looked at the agreement.
They are not requesting additional permission from you if the settlement they negotiate is 50% or less.
The agreement says you need to send written notice of cancellation.
They will be taking their fees out of each of your monthly payments and not taking their fee when they actually settle your debts.
It says the cancellation form must be postmarked.
The agreement says that estimated settlement figures are based on an average and not based upon the companies actual experience with your specific creditors. You should ask them for their past performance numbers with your specific creditors and also ask how many total clients they’ve settled that creditor with that have had the same creditor.
The company is charging a fee of 17% of the enrolled debt which will be taken as $142 per month for 18 months. They are additionally going to charge you $59 a month as an administrative fee.
Clear Blue Debt Solutions can modify your agreement with 30 days notice. You do not appear to be able to do the same.
I’m surprised the only time they’ve mentioned being in Canada so far is the address on the first page as One Hunter St East, Hamilton, Ontario L8N 3W1.
Clear Blue Debt Solutions says the agreement will be construed in accordance with Florida laws. But if they are a U.S. company they run into trouble with Federal Trade Commission Telemarketing Sales Rules that prohibit advanced fees like you are being charged.
I don’t even know if this agreement is even recognized in Canada. Does it meet Canadian law and not Florida law. You will need a lawyer in Canada that question.
Please post your responses and follow-up messages to me on this in the comments section below.