The Association for Student Loan Relief Closes. R.I.P. AFSLR.

The Association for Student Loan Relief, an association for companies selling student loan relief, has gone dark. The website simply says, “The Association for Student Loan Relief is no longer active and no companies are members of the Association. AFSLR has discontinued operations and provides no endorsement of any business. No business is permitted to … Read more

Morgan Drexen Bankruptcy Update for August 25, 2015

As part of the public record, the bankruptcy trustee in the Morgan Drexen bankruptcy has just posted a very interesting update. The document was filed on August 24, 2015 and here is what it says. The Trustee states the Morgan Drexen business has been wound up and 15,000 letters were sent to “Affected Customers” notifying … Read more

Has Practical Debt Relief Gone Poof? Police Confirm Investigation.

A tipster (send in your tips here) sent in the following statement: “Practical Debt Relief is gone. Around $250K was embezzled from the client accounts held by Global Client Solutions. The local police department are investigating which is Davie, Florida. Global Client Solution closed the accounts of all clients and sent them refunds and a … Read more

Debt Validation of America Files Chapter 7 Bankruptcy

Debt Validation of America has appeared on this site many times over the years, click here. A reader tipped me off the debt settlement company filed for chapter 7 bankruptcy protection. They filed on February 28, 2013. Their bankruptcy application lists assets of $0 to $5,000 and liabilities of $50,001 to $100,000. Morgan Bryan Perry … Read more

Debt Remedy Solutions Closes and Tells Clients to Do It Yourself

A tipster (send in your tips here) wrote and said Debt Remedy Solutions just closed up shop and is now advising clients to deal with their creditors directly. The reader said that this advice was given to clients when they call the toll-free number at 866-597-0730. And sure enough, that’s what the message says. Listen … Read more

Mortgage Modification Company Former Owner Facing 80 years in Jail

Isaak Khafizov, a former owner of American Home Recovery (AHR), a mortgage loan modification business, was found guilty yesterday in Manhattan federal court of conspiracy, mail fraud, and wire fraud in connection with a scheme to defraud distressed homeowners and lenders. Khafizov was convicted after a ten-day jury trial presided over by U.S. District Judge … Read more

UK Debt Settlement Firm DebtDr Goes Bust Taking Client Funds With It

A UK based debt settlement company known as the DebtDr has gone bust and took £600,000 of client funds with it. The company was actually Hermes Financial Solutions, Ltd and was run by Jeremy Hockley. The company took client funds and held them on deposit until settlements were reached with creditors. Unfortunately this company ceased … Read more

Timeline Debt Solutions and R&N Consulting Tell Clients to Get Lost. We’ll Keep Your Money.

I’ve finally got my hands on the letter Timeline Debt Solutions sent out as they fell out of business. It’s horrible. Timeline Debt Solutions and RN Financial, aka R&N Consulting, had been selling debt settlement services on an advanced fee basis. They took her monthly $500 payments and deducted their fees for services before actually … Read more

CBDC Rumored to Have Closed Doors Suddenly

A tipster (send in your tips here) reports that effective yesterday, the nonprofit 501(c)3 credit counseling group closed their doors suddenly. According to the tipster (send in your tips here) a notice was sent out saying: I wanted you to hear this from me directly; I regret to inform you that CBDC will no longer … Read more

Enhanced Servicing Solutions Shuttered

A now former Enhanced Servicing Solutions debt settlement division employee is reporting the following: “I was an employee of Enhanced Servicing Solutions. As of today 8-23-11 we were shut down. Due to Mr. Johnson and his shady acts we were not able to keep & maintain business operations. Some of the information that was published … Read more

Company Claiming to Reduce Credit Card Interest Rates – Shuttered by FTC

The FTC has settled two actions that charged marketers with deceptively claiming they could reduce consumers’ credit card interest rates. Both operations allegedly made deceptive telemarketing calls, called consumers on the Do Not Call Registry, and used illegal robocalls. The settlements will ban all of the defendants from selling debt relief services. Advanced Management Services … Read more

Credit Counseling IRS Non-Profit Status Revocations for 2011

The IRS has revoked its determinations of the following organizations as described in sections 501(c)(3) and 170(c)(2) of the Code. Christian Credit Counselors International, Santa Ana, CA – 2-28-2011 Consumer Credit Protection Agency, Tampa, FL – 2-28-2011 Debt Serve, Fort lauderdale, FL – 2-22-2011 Falls Consumer Credit Management, Akron, OH and Saint Clairsville, OH – … Read more

Safeguard Financial – Backstroke. Don’t Call Us, Call Them.

A consumer who had enrolled in a debt settlement plan with Safeguard Financial sent me the current company number and asked me to listen to the message. It sure sounds like they are trying to swim away from all the consumers they sold into a debt settlement program. Listen to Safeguard-18885259898 It also appears the … Read more

Safetrust Financial Announces Bankruptcy and Ditches Affiliates

An awesome tipster (send in your tips here) just sent in the following email they received from Safetrust Financial. Kind of ironic that a debt settlement company goes bankrupt to keep servicing the accounts of people who wanted to avoid bankruptcy. But then uses bankruptcy as a way to shed the liabilities of the affiliates … Read more

Modify Utah Shutters Doors. Leaves Consumers Stranded.

Thanks to a tipster (send in your tips here) I found out about a loan modification company in Utah called Modify Utah. The company apparently closed up without advance notice to consumers that had paid for services. The Desert News is reporting: According to a letter from the firm’s attorney, Paxton Guymon, Modify Utah ceased … Read more