A new debt relief mailer, which you will see below, poses as an official document but in fact leads to a potential sale for Debt Defense Services according to the tipster (send in your tips here).
What do you think, is the mailer deceptive or perfectly fine from your point of view? Add your comment below.
An amazing reader CLK sent in a new debt relief mailer through my I Buy Junk Mail program.
CLK says, “I called the number and the person there said there are 4 options, and depending on what option I choose they will refer me to the appropriate company. They offered credit counseling, debt invalidation, debt settlement, and bankruptcy.
For $1475 a month for 15 months they would GUARANTEE that they will invalidate the debts, or I get my money back. For $1960 a month for 24 months, they would settle my debt, for an average of 38 cents on the dollar. Do the math – they get $16,000. I asked if the money was held in an escrow account and he said yes, it would be held in an FDIC insured bank in my name. I asked about the deficiency and having to pay tax on the forgiven debt – he said just fill out IRS form 982 and that most of their clients don’t ever pay tax on the forgiven debt.
He said the company doing the debt services was called Debt Defense Services, and their website is debtdefenseservices.org and that they had a B rating with th e Better Business Bureau and that they have no complaints or issues and I should check them out. He said he was in a enrollment processing center in San Diego, CA but the company was back east somewhere.”
The postal permit on the mailer is 1297 and appears to be related to a number of previous problematic mailings. In a recent article I made the alleged connection to a group called Vertical Direct Marketing Group. Coincidentally they have an alleged call center in San Diego and DDS is located in Maryland.
The Front
Note the official looking markings on the envelope.
The Letter
Again the official looking mailer continues into the letter with the big 2013 at the top. I can’t imagine how the entity behind this mailer would know if a creditor raised the interest rates. Seems like a false statement to me.
And while we are talking about false statements, the bullet points seem very suspect.
- No 3rd Party Fees
- 1 payment per month
- Reduce Overall Debt by up to 68%
- Avoid Costly Debt Management Programs
- Immediate Reduction of Payments up to 60%
- Elimination of Debt in as little as 24 months
- Credit is Restored by Avoiding Bankruptcy
- Stop Calls from Creditors & Collectors
The statements seem false just on face value. The consumer who received this mailer was being sold a program for Debt Defense Services that appears to not be able to deliver on a number of the features of the program.
For example, the DDS program is designed to manage or eliminate consumer debt. There is a fee for the program. How is it not costly?
If the consumer participates in the DDS program and it results in late or defaulted payments, how is that credit restoration?
Who is Debt Defense Services Targeting?
I visited the Debt Defense Services website and was puzzled with the menu at the top. It appears the site is targeting people who read Korean and also Spanish.
My Opinion
I think the mailer is deceptive. I think anyone who receives such a mailer should file a complaint with the Federal Trade Commission and the U.S. Postal Inspection Service.
I would recommend that anyone considering using such a company should read the following free guides.
- The Ultimate Consumer Guide to Checking Out a Debt Relief Company Before You Sign On the Line
- 10 Must Do Steps to Find the Best Credit Counseling or Debt Settlement Company for You
- How to Check Out a Business or Company to Avoid Getting Scammed or Ripped Off
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.
Do you have a question you'd like to ask me for free? Go ahead and click here.
This offer was able to be reviewed because a kind reader sent it in via my I Buy Junk Mail program.
If you receive a credit or debt relief offer in the mail, do some good and let me pay you for it. Click here.
Want to See More Mailers?
Want to see more mailers I’ve reviewed as part of this program? Click Here.
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