Scott Law Group Debt Settlement Litigation List Contains Some New Companies

The Scott Law Group in Washington State has been VERY active in going after debt settlement companies that allegedly injure consumers. It appears some new companies have been added to their list of current litigation, The new companies include FBL Associates, Lifeguard Financial, Please Reduce My Debt, and Think Outside the Box Solutions. – Source … Read more

Debt Relief USA, James Wojcik and Valerie Leath Banned from Selling Financial Products and Services

As part of its continuing crackdown on scams that target consumers in financial distress, the Federal Trade Commission settled charges against a debt relief operation that allegedly lured consumers nationwide into paying thousands of dollars in up-front fees, but in most cases failed to actually reduce their credit card debts, and in many cases left … Read more

Debt Relief USA Ran for Bankruptcy Cover But FTC Says “Not So Fast”

On August 17, 2010 the Federal Trade Commission sued Debt Relief USA, Kelly Reilly, Alvin Bell, James Wojcik, and Valerie Leath. Previously Debt Relief USA had been in the news on this site. Part of that news was about how the company was running for cover to ditch their liabilities under a bankruptcy filing in … Read more

Debt Relief USA Owners to Personally Pay Millions in Court Award

I don’t think the former corporate directors of Debt Relief USA will soon forget July 15, 2011. On that day a State of Washington court awarded a class action award of $1.5 million against the directors of a now defunct and bankrupt debt settlement company. James Wojcik, Kelly Reilly, and Alvin Bell will have to … Read more

Debt Relief Companies Targeted by Scott Law Group in Washington

In response to an article I posted yesterday here in which I mentioned Darrell Scott, Esq. said he was going after 16 settlement companies, a reader sent in the actual list of companies. The tipster (send in your tips here) said: “The Scott Law Group, P.S. is currently involved in debt settlement litigation involving the … Read more

Non-Profit Credit Counselors Watched by New York for Bogus Activities

In a story that would have been just about a presentation to the New York City Council about debt settlement activities comes a glance into the activities of some debt settlement companies to attempt to loophole out of FTC new rules to regulate debt relief activities. The documents from the meeting say: Karen S is … Read more

Texas AG Returns $3.7 Million to Defunct Debt Relief USA Customers

The Texas Attorney General’s Office has obtained a court order disbursing $3.7 million to Texans and customers in other states who were defrauded by a now bankrupt debt relief firm. Court documents filed by the State indicate that Debt Relief USA Inc. unlawfully collected millions of dollars from Texans who hired the firm to settle … Read more

International Association of Professional Debt Arbitrators – IAPDA Certification Exposed

Loyal readers may have observed that I routinely never mention IAPDA, the International Association of Professional Debt Arbitrators (IAPDA) or even mention that a company may display their logo as being a member. It’s not that I’ve not noticed their logo displayed on sites, it’s that many in the industry have disparaging things to say … Read more

What is Going On With Debt Relief USA and Its Bankruptcy? – James

“Dear Steve, Im another victim of debtrelief USA and would just like some positive reinforcement regarding this situation please!! i am a 24 year old collge student with 2 jobs and this couldn’t have happend at a worse time for me! i got all my up dates from http://www.drusabankruptcy.com/ however they ceased to give updates … Read more

I Signed Up With Debt Settlement Company Debt Relief USA. They’ve Done Nothing. – Vicki

Vicki “Dear Steve, I signed up with a company by the name of Debt Relief USA, July 7, 2008. Their address is 16200 Addison Rd, Ste 105, Addison, TX 75001. They have not done anything to help me with my debt as they promised. I have recently found several articles on the Internet about complaints … Read more

Attorney General Cracks Down on Abusive Debt Settlement Industry

Illionois Attorney General Lisa Madigan took further action to reform an abusive debt settlement industry that wreaks havoc on financially strapped consumers who are increasingly desperate to manage their rising debts in these difficult economic times. Madigan proposed legislation to prohibit debt settlement firms from engaging in unfair practices that harm consumers including charging upfront … Read more

American Debt Control and Debt Relief USA Unfortunately Back in the News

Interesting article worth reading out of Texas about debt settlement and the Debt Relief USA mess. People in desperate financial straits will sometimes go to desperate lengths to get out. And some companies use questionable practices to capitalize on their plights. The most recent example is an Addison-based company that promised to cut consumers’ credit … Read more

Debt Relief USA Sued for Millions by Texas AG

Texas Attorney General Greg Abbott today took legal action to recover $4.6 million that a bankrupt “debt settlement” company wrongly withheld from its clients in Texas and other states. In June, Debt Relief USA Inc. of Addison filed for bankruptcy protection in the Northern District of Texas. As a result, more than 2,500 financially distressed … Read more

Credit Counseling, Credit Repair, Debt Settlement and Other Scams Are Target of FTC Sweep

The Federal Trade Commission recently annound operation Short Change, an effort to help curb abuses of consumers by groups claiming to offer help. Here is a summary of the companies targeted under Operation Short Change. California Mezey & Associates, Inc., Campos Chartered Law Firm, The Consumer Protection Law Center dba Consumer Law Center, LLC Desist … Read more

Debt Settlement Company Debt Relief USA Files Bankruptcy

Debt settlement company Debt Relief USA has filed bankruptcy in Texas following recent investigations and suits by the attorney general of several states. The bankruptcy petition can be viewed here and shows the ownership of Debt Relief USA to be Kelly E. Reilly, Alvin B. Bell, and James F. Wojcik. What will be significantly up … Read more