Warning: Boring But Important Look at Secret Consumer Arbitration Waivers

Here is a very interesting but technical post from the folks over at Level Playing Field on the use of secret arbitration waivers consumers are bound to but don’t have access to until it’s too late. Some debt relief companies are using these so head up. Are secretive arbitration waivers fair to consumers? For the … Read more

New Arbitration Rule Will Allow Consumers to Take Debt Relief and Credit Repair Companies to Court

The Consumer Financial Protection Bureau (CFPB) today issued an announcement about a new Arbitrations Agreement Rule that will prevent companies from requiring consumers to only dispute issues with companies through arbitration and not enter a class action suit against the company. This new rule covers companies who are “providing consumers with information derived from their … Read more

Debt Relief Industry May Have Tough Time Pushing Back Against CFPB Rule

Yesterday I wrote about how the Consumer Financial Protection Bureau (CFPB) is proposing a rule that remove contract clauses on binding arbitration and the prevention of class action suits in debt relief contracts. You can read that article here. If the debt relief industry wants to tamp down or prevent these new rules, someone is … Read more

CFPB Proposes New Rules to Prevent Arbitration in Debt Relief

The Consumer Financial Protection Bureau has published a request for public comment to prevent arbitration clauses from debt relief company contracts. Summary The proposed rule would prohibit covered providers of certain consumer financial products and services from using an agreement with a consumer that provides for arbitration of any future dispute between the parties to … Read more

Schools That Deny Students Rights Should Not Receive Federal Funding

The U.S. Department of Education should deny Title IV funding to for-profit and other schools that require students to sign away their legal rights and submit to binding arbitration in future disputes with their schools, Public Citizen said today in a petition (PDF). Forced arbitration clauses are detrimental to students and hamper efforts by government … Read more

We took a look at arbitration agreements and here’s what we found

Mar 10 2015 By Will Wade-Gery Tens of millions of consumers use financial products or services like credit cards and student loans that include pre-dispute arbitration clauses in their agreements. This means that either party to these contracts can require disputes be resolved through arbitration, rather than through the court system. These clauses are controversial. … Read more

Clear Your Debt, Global Client Solutions Case Kicked Out of Ohio Court to Arbitration

Yesterday the case against Clear Your Debt in Ohio was dismissed and sent to arbitration. Interestingly, the co-defendant Global Client Solutions’s request for arbitration under the Federal Arbitration Act was denied. The ruling provides yet another example of why consumers should carefully evaluate debt relief services prior to signing any contract and make sure they … Read more

I Had A+ Credit Until My Identity Was Stolen. – Nikki

Nikki “Dear Steve, I had A+ credit until I found out my identity had been stolen. Collection agencies are just out for blood from anyone. Now I am facing arbitration! I am facing arbitration with a credit card company’s attorney. Can I protect my assets with a lien or trust to buy some time and … Read more

Can I File Bankruptcy to Get Out From Having to Buy Back My House? – Mari

“Dear Steve, I sold a house and the buyer sued me for nondisclosure. An arbitrator ruled in favor of the buyer and ordered that the contract be rescinded. Now I have to buy back the property and pay all costs related to the transaction including attorney fees. Can I declare bankruptcy to get rid of … Read more

FTC Hopes to Eradicate Broken Debt Collection Litigation and Arbitration

A report released by the Federal Trade Commission Monday featured the FTC’s complaints about debt collection in our country today. The report featured the conclusion that “consumers are not adequately protected in either debt collection litigation or arbitration.” The FTC put forth recommendations to both the federal and state governments on how to make the … Read more

Credit Card Arbitration Falls Out of Bed. Began with National Arbitration Forum Getting Sued.

Minnesota Attorney General Lori Swanson and the National Arbitration Forum—the country’s largest administrator of credit card and consumer collections arbitrations—have reached an agreement that the company would get out of the business of arbitrating credit card and other consumer collection disputes. “I am very pleased with the settlement. To consumers, the company said it was … Read more

Minnesota Attorney General Sues National Arbitration Forum. Claims Consumer Deception.

Today the Attorney General of Minnesota, Lori Swanson, filled a lawsuit against the largest consumer arbitration company, National Arbitration Forum. She claims that the National Arbitration Forum tells the public and government that it acts fairly and impartially to help mediate complaints between consumers and credit card companies. It appears that Attorney General Swanson finally … Read more