Article and information specifically geared to readers inside the debt relief industry.
The Federal Trade Commission sued Financial Education Services and others for selling credit repair and an alleged pyramid scheme business opportunity. Watching the court record, Financial Education Services is pushing back hard. However, the FTC just filed a document that makes a compelling argument why the credit repair company should have some concerns. You can … Read more
I get many emails from people inside companies that have information to share. Few of them make the website, but I thought maybe I should start sharing them but that the company names out. So here is a new one. Insider Says I just came across this while doing some research and saw another guest … Read more
Today, the Consumer Financial Protection Bureau (CFPB) finalized an enforcement action against debt-relief payment-processors RAM Payment and Account Management Systems (AMS), as well as AMS’s co-founders, Gregory Winters and Stephen Chaya, for collecting debt-relief fees from consumers, lying to consumers about when the fees would be paid to debt-relief companies, and sending illegal advance fees … Read more
I received a tip from a reader that said “Sean Robert[s] as CEO doing mortgage loans again FYI.” They said the company was: Premier Financial Marketing LLC Entity: Limited Liability Company (LLC) Industry: Mortgage and Nonmortgage Loan Brokers Location: Irvine, CA Premier Financial Marketing LLC 18500 Von Karman Ave Ste 350 Irvine, CA 92612 Business … Read more
Almost half of seniors have incomes within 200% of the poverty line. They are classified as economically vulnerable and retire owing more debt than ever before. It is natural then that seniors with financial problems would search for someone to help them. Before the internet, communities had a local Consumer Credit Counseling Agency that would … Read more
An email from Denise Dunckel, the CEO of the American Fair Credit Council (AFCC), has ruffled some feathers in the debt settlement industry. AFCC is a trade association for debt settlement providers and associated companies. They have been around for a number of years now. The concern by some is that the announcement of increased … Read more
Yesterday I wrote about the misfortunes of Daniel Rufty, a new North Carolina attorney that learned some very hard lessons about being a local representative for a debt settlement company. You can read that post here. Rufty sued Jason Blust, Law Offices of Jason Blust, Lit Def Strategies, and Relialit after his disciplinary debacle. The … Read more
I just discovered the misfortunes of Daniel S. Rufty, an attorney in North Carolina that was brought before the North Carolina State Bar for his debt relief business. Rufty was a brand new attorney hired to represent an out-of-state group of lawyers for their debt settlement business. Things did not end well for Rufty but … Read more
Financial companies will face consequences for illegally manipulating or suppressing consumer reviews. Today, the Consumer Financial Protection Bureau (CFPB) issued policy guidance regarding potentially illegal practices related to consumer reviews. The CFPB seeks to ensure that customers can write reviews, particularly ones posted online, about financial products and services that accurately reflect their opinions and … Read more
A debt relief company named Debt Assistance Network hit my radar. People are under the impression the company will assume their debt and somehow fight back to eliminate debt. Fees are steep. I typically advise consumers that anyone considering using such a company should read the following free guides and do their own research. The … Read more
I previously wrote about Julie Anne Stamps who alleged she was terminated by Ramsey’s company, Lampo Group for being a lesbian. See the section “Gay Woman Fired” in this post. In an interesting turn of events, the Ramsey company, Lampo Group aka Ramsey Solutions, has agreed to pay out $76,900 on claims of “employment discrimination … Read more
The operators of an alleged credit card interest rate reduction scam will be permanently banned from the debt relief industry as part of court orders resolving charges by the Federal Trade Commission and the Florida Office of the Attorney General. The defendants—Gino de Paz, Grace de Paz, and Shabana Khublal—allegedly engaged in deceptive and abusive … Read more
Attorney General Karl A. Racine announced that Elevate Credit, Inc. (Elevate), a predatory online lender, will pay at least $3.3 million to refund over 2,500 District consumers who were misleadingly marketed high-cost loans and lines of credit, waive over $300,000 in interest owed by those consumers, and pay $450,000 to the District. The company will … Read more
The remaining defendants in a deceptive student loan debt relief scheme are permanently banned from providing all student loan debt relief products and services in settlements with the Federal Trade Commission. The settlements with Jay Singh, the two corporate defendants he controls, and seven other corporate entities resolve charges the FTC in brought in November … Read more
The court just recorded an apparent final disposition in the Arete Financial Freedom lawsuit. The parties included under the Stipulated Order for Permanent Injunction and Monetary Judgment include Arete Financial Group, Arete Financial Freedom, CBC Conglomerate, 1file.org, Diamond Choice Inc., Interest Rate Solutions, J&L Enterprise, Premier Solutions Servicing, La Casa Bonita Investments, Inc., La Casa … Read more