I just had a great conversation with an attorney about what I learned from my experience with sending agents out to collect documents in the debt relief industry. I was sharing with him all the difficult lessons learned and why I would not suggest people do that. Maybe at some point I’ll write more about that experience. And then my ... Read More »
An email from a respected debt settlement insider tells me this morning that a number of debt settlement salespeople are “flocking” to move on to sell financial services and products through NAA (National Agents Alliance). One company even said they’ve lost 25% of their sales staff to NAA. Now, putting aside the issue of jumping into a market of more ... Read More »
WRAL television in Raleigh, NC is reporting Consumer Law Group of Florida, who was recently sued by the NC Attorney General, has agreed to pull out of North Carolina. Under North Carolina law, it’s illegal to charge an upfront fee to help negotiate debts, also called debt adjusting or debt settlement. Some companies promising debt relief, including Consumer Law Group, ... Read More »
West Virginia Attorney General Darrell McGraw has asked the Circuit Court of Kanawha County to enjoin an Arizona-based debt relief company from doing business in the state of West Virginia. On October 19, 2010, McGraw sued Lisa Miller, of Chandler, AZ, owner of Allied Corporate Connection, doing business under the trade name First Secure Management, citing unlawful telemarketing sales of ... Read More »
Halloween is coming four days early for the tax debt relief industry-and the result will not be a treat for firms who make false promises to distressed taxpayers, according to independent Web site easyIRS.com. On Oct. 27, debt resolution companies covered under new Federal Trade Commission (FTC) legislation won’t be allowed to collect advance fees-a nightmare for many “pennies on ... Read More »
Coast to Coast Financial Counseling (c2cfinancialcounseling.com) is apparently holding presentation meetings about their new “Face to Face” legal model for selling debt settlement services. The slides are below. Get Out of Debt Guy – Twitter, G+, Facebook Need More Help? I can always use your help. If you have a tip or information you want to share, you can get ... Read More »
A tipster (send in your tips here) sent me information that Legal Helpers Debt Resolution is moving ahead with their plan to continue selling advanced fee debt settlement services through their “hopefully” complaint avoidance of the new FTC telemarketing sales rules. Apparently in the Los Angeles – Orange County area they have had some agents going out and meeting with ... Read More »
Apparently the law firm of Loeb & Loeb put out a presentation recently to provide some last minute guidance to the debt settlement industry. You’ve got to love the title, “Loopholes or Nooses: Be Careful Where You Stick Your Neck” On the subject of selling bundled products with debt settlement services in order to increase income. On the issue about ... Read More »
In what is looking like an ongoing wave of suits against debt settlement companies by employees for unpaid wages, the latest to be sued was Credit Answers in Texas. Other debt relief companies sued include Lloyd Ward Law Firm, ABC Debt Relief, and Credit Solutions of America. Defendant is a debt settlement company doing business in Texas. Plaintiff was employed ... Read More »
After I published this article yesterday on the bankruptcy of the debt settlement law firm Johnson Law Group in Nevada it was pointed out to me that there was more to tell from the supporting schedules attached. – Source. And the tip was correct. The court documents revel how much money was disbursed by the Johnson Law Group in the ... Read More »
The Johnson Law Group in Nevada previously was forced into an involuntary bankruptcy on June29, 2010. Just recently they have finally submitted financial statements and details which help to give us a clearer picture of what is going on. According to a document filed on July of 2010 the story of what happened to the Johnson Law Group is reveled. ... Read More »
Debt Relief Attorney Settles With New Jersey. So Does Paramount Debt Settlement USA, New Day Financial Solutions, American Credit Repair and Settlement, and American Financial Advocacy Council.
Attorney General Paula T. Dow announced October 18, 2010 that the owner of several New Jersey loan modification companies has agreed to pay the state $805,000 and stay out of the foreclosure rescue business to resolve allegations he defrauded struggling homeowners who sought help in staving off foreclosure. Defendant Stephen Pasch of Greenbrook Township, Somerset County, agreed to a judgment ... Read More »
Consumer Recovery Network Taking on Abandoned Debt Settlement Clients for Significantly Reduced Rate
I just spoke to Michael Bovee from Consumer Recovery Network (CRN). Michael is concerned that consumers may be abandoned by debt settlement companies that will go out of business. I was told that one debt settlement trade association recently commented they’ve lost 35% of their members so far and the October 27, 2010 implementation date for the new FTC telemarketing ... Read More »
FBL Associates and Evan Kagan, Esq. The Battle Continues. Majority of Surveys Say Clients Feel Misled.
One of the allegations in the ongoing battle between debt relief providers Frank Linder, Esq. of FBL Associates and Evan Kagan, Esq. is the allegation that customer data was stolen from FBL Associates and utilized by the offices of Kagan to persuade clients to leave FBL and join Kagan.. For a number of months I’ve been hearing rumors that the ... Read More »
Frank Linder, Esq. Sends In Additional Supporting Documentation Regarding Alleged Raid Against Evan Kagan, Esq. Kagan Responds.
In a situation that is one of the strangest I’ve seen in the debt relief world, two debt relief groups are going nose-to-nose with allegations and denials of raids and malfeasance. I first reported this story here but new information and supporting documentation has been submitted by Frank Linder, Esq. of FBL Associates. UPDATE: See response from Evan Kagan, Esq. ... Read More »