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Home > Author Archives: Steve Rhode (page 6)

Author Archives: Steve Rhode

Encore Capital Group and Portfolio Recovery Associates Nailed for Deceptive Tactics to Collect Bad Debts


Today the Consumer Financial Protection Bureau (CFPB) took action against the nation’s two largest debt buyers and collectors for using deceptive tactics to collect bad debts. The Bureau found that Encore Capital Group and Portfolio Recovery Associates bought debts that were potentially inaccurate, lacking documentation, or unenforceable. Without verifying the debt, the companies collected payments by pressuring consumers with false ... Read More »

    I Have a Mental Problem That Leaves Me Unable to Pay My Student Loans

    A businesswoman thinks and does the questions

    Question: Dear Steve, I have a mild psychiatric disorder, and I have my total and permanent disability form accepted. However, I found out that for a three year monitoring period, if I make money over the poverty level, in three years I will have to go back to paying it back. While I’m a responsible woman who can’t pay back ... Read More »

      More Twists and Turns in Morgan Drexen Case Now Involving Howard Law

      courthouse 2

      Last week the Consumer Financial Protection Bureau (CFPB) deposed Walter Ledda, the former man in charge of the debt settlement company Morgan Drexen. Ledda disclosed some information that made the ears of the perk up a bit and they filed a new court document. Rather than rehash the entire background of this multi-year court action between the CFPB and Morgan ... Read More »

        Sarah Discovers Some Student Loans Can Be Settled

        FACT OR FICTION? red Rubber Stamp over a white background.

        One of my readers, Sarah, recently shared her experience settling student loan debt. It a good followup piece to my article This is How You Can Settle Your Navient Student Loan. Sarah mentions several points that need clarification. But overall, she has learned, as others have, that you can settle private student loan debt in some situations. Sarah writes in ... Read More »

          Working On a Story – Did the CFPB Call and Threaten Your Debt Relief Company?


          I’m working on a story about the CFPB calling debt relief companies and saying, “Hello this is ___ from the CFPB calling about an enforcement matter, please call me back immediately.” Companies that are calling back do not have an enforcement matter but are being pitched to register for the CFPB online portal. If your company has received such calls, ... Read More »

            Debt Relief Scammer Banned from Selling Mortgage Relief Services


            A mortgage relief services company and its owner, have agreed to settle allegations that they illegally charged homeowners an up-front fee for help they promised but never provided, and they will be banned from selling debt relief services under a federal court order. The settlement resolves allegations that Wealth Educators and Veronica Sesma falsely promised they could lower consumers’ mortgage ... Read More »

              Another Attorney Runs Into the Connecticut Department of Banking


              You’d think attorneys would avoid issues with the Connecticut Department of Banking, but you’d be wrong. Another attorney has received their unwanted attention for debt relief issues. “MATTERS ASSERTED 1. Pullin Law is a professional corporation organized under the laws of the State of New York with offices located at 7600 Jericho Turnpike, Suite 402, Woodbury, New York; 3075 Veterans ... Read More »

                Where Are the Howard Law Bankruptcy Cases?

                Where did my debt relief company go?

                A court filing by Howard Law and Vincent Howard in the Morgan Drexen v. Consumer Financial Protection Bureau case piqued my curiosity. The filing said, “The range of legal services that Howard Law provides to its clients includes, but is not limited to legal representation in business litigation matters, personal injury matters, consumer protection and class action legal matters, social ... Read More »

                  Should I Stop Paying My Private Student Loans Now?

                  Businessman trying to solve a maze questions

                  Question: Dear Steve, I graduated in 2006 with over $50k in private student loans. After I graduated, Citi wanted $400/month. Unable to make the payments, I went on years of deferment and forbearance as my loan was bought and sold by several banks and lenders. My loan reached a max of $110,000. I am now 10 years removed from college, ... Read More »

                    Rescue One Financial Hit with Class Action Suit by Howard Law

                    Hello I Am Suing You words on a name tag sticker informing that someone is bringing a lawsuit against you in a court of law

                    While working on another article I came across the case below. I’ve written articles recently about debt relief companies and the exposure of Telephone Consumer Protection Act claims. Michael Perri v. Rescue 1 Financial “1. Defendant Rescue 1 Financial, LLC (“Defendant” or “Rescue 1”) is a national financial services company that focuses on consumer debt management such as: debt settlement, ... Read More »

                      Is Howard Law a Victim in the Morgan Drexen Case?


                      Rather than rehash the relationship between Howard Law and Morgan Drexen, click on the links to their names for the backstory. Recent court documents present an argument by Howard Law that the CFPB action and closure of Morgan Drexen should not involve them or their clients. “When the CFPB initiated the underlying action (the “Action”) against Morgan Drexen, Inc. (“Morgan ... Read More »

                        11 Myths About Student Loan Forgiveness

                        Illustration of chalkboard with text facts and crossed myths

                        If you have more student loan debt than you can handle, or if you’ve been paying and paying (and paying) and can’t make headway, chances are you’ve wondered about student loan forgiveness. As you look into your options, keep in mind that everything you read (or hear — even from your student loan servicer) may not be accurate. We asked ... Read More »

                          Vemma – Another MLM Slammed Shut. Good Products. Bad Business.


                          Promised Unlimited Income Potential, But Most Participants Lose Money At the Federal Trade Commission’s request, a federal court has temporarily halted an alleged pyramid scheme, Vemma Nutrition Company, that lures college students and other young adults with the prospect of getting rich without having a traditional 9-to-5 job. The FTC seeks to stop the operation, which earned more than $200 ... Read More »

                            Walter Ledda, Working as Temp in Poland, Caught By Surprise in Morgan Drexen Case

                            The actual granular data presents a surprising reality.

                            New public documents filed in the Morgan Drexen case paint a picture of Walter Ledda caught by surprise by the turn of events. These excerpts are from the documents shown with the source link. You can click on those documents to read the full original filing. In the first document, Ledda represents the recent CFPB action caught him by surprise. ... Read More »

                              World Law and Orion Processing – Raided – Frozen

                              afraid alone

                              Last week the CFPB raided Orion Processing’s headquarters after obtaining a search warrant. The CFPB filed a complaint last Monday, and obtained a Temporary Restraining Order (TRO) last Tuesday, which was under seal until late yesterday. With the TRO, the CFPB also obtained an asset freeze on all of the defendants’ assets. The defendants include Orion Processing, Derin Scott, David ... Read More »

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