FTC Says Debt Relief Programs Still on the Radar to Target in 2013

The Federal Trade Commission has just announced their accomplishments for 2012 and objectives moving forward into 2013.

Along with a number of issues, like deceptive business opportunities, and identity theft, they have also renewed their focus on the debt relief industry.

As part of their targeted sector statements they say, “Fraud operators have seized upon new schemes to take advantage of consumers in the financial services marketplace. The FTC will continue to use the tools and authorities available to it to protect consumers of financial services.

Agency law enforcement actions will target firms that make deceptive offers to assist consumers in reducing or renegotiating secured debt, such as mortgage or car loans, and unsecured debt, such as credit card bills.

The FTC will work to stop payday lending operations that employ deceptive conduct to take advantage of financially distressed consumers seeking these loans.

The FTC will combat deceptive and other illegal practices involving mortgage advertising, servicing, lending, and other financial services. These practices can have severe consequences for consumers, including unanticipated high-cost mortgages, ruined credit histories, and loss of their homes.

The agency also will fight deceptive and abusive debt collection practices. The FTC will continue to gather information on the consumer protection issues related to buying or leasing motor vehicles, and when appropriate, take action against deceptive practices in this area.

The FTC will also continue to work to protect consumers from financial frauds that emanate from outside the United States, including phantom payday loan scams and fake mortgage relief scams. Further, the FTC will continue to closely coordinate with the Consumer Financial Protection Bureau to ensure that consumers are protected in the financial marketplace and to avoid any duplicative efforts between the agencies.”

But at least the debt relief industry has fallen off the top ten most complained about issues.

See also  Florida Attorney General Wants Debt Settlement Companies to Put Up Before You Pay Up

Here are the top consumer complaints. The debt world only really peripherally made the list under the credit repair section.


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