It’s a Game Changer – Initial Review of New Rules for Debt Relief Services, Advertisers, Marketers, and Providers

This assessment of the new debt relief industry rules from the Federal Trade Commission comes from my friends at the Venable law firm and is worth reading for their assessment. FTC Issues Final Rules for Debt Relief Services: Landmark Changes for Service Providers, Advertisers and Marketers of Debt Relief Services On July 29, 2010 at … Read more

CRL Makes an Excellent Case for a Debt Settlement Fee Ban. CNI Doesn’t.

A flurry of letters have been flying into the FTC to attempt to influence them to allow debt settlement companies to collected fees before debts are settled. Here are two of the most interesting exchanges. The first comes from Century Negotiations, Inc. It happens to be the company of the TASC Executive Director Dave Leuthold … Read more

You Can Be Instantly Sued When Your Debt Settlement Company Contacts the Debt Collector

NCO Group, a huge debt collection company recently provided an opinion about debt settlement services. Of primary interest to me was the statement from NCO that they are under instructions from their creditor clients that when a consumer tells NCO they have signed-up with a debt settlement company that NCO should refer the consumer account … Read more

Debt Settlement Does Not Need to Be Closed Down. It Needs to Be Cleaned Up. – Podcast

I had a very interesting conversation with a debt settlement insider that mentioned how many debt settlement companies he talks to that hate me for what I write. Yea, I’m not losing sleep over that. I made the following podcast of this article so you could enjoy it with background music. Debt Settlement Does Not … Read more

41 Attorneys General Say to FTC, Ban Debt Settlement Advance Fees Damnit

Here is a letter that was sent to the FTC from the National Association of Attorneys General in support of banning advance fees for debt settlement programs. Federal Trade Commission Office of the Secretary Room H-135 (Annex T) 600 Pennsylvania Avenue, NW Washington, DC 20580 Re: Telemarketing Sales Rule – Debt Relief Amendments Matter No. … Read more

Consumer Groups Make the Case to Not Exempt Debt Settlement Attorney Model From Regulation

This letter was sent in by a loyal tipster (send in your tips here), thank you. Oppose the House Offer on H.R. 4173 to Exempt Attorneys Engaged in Unfair, Deceptive or Abusive Consumer Financial Practices June 22, 2010 House-Senate Conferees, H.R. 4173 Washington, DC 20510 Dear Senator or Representative: Americans for Financial Reform and the … Read more

NAACP and AFL-CIO Tell FTC, Advance Fee Debt Settlement Must Be Banned

I’ll just let the letter below speak for itself on the issue of banning advance fee debt settlement by the Federal Trade Commission. American Federation of Labor-Congress of Industrial Organizations (AFL-CIO) Leadership Conference on Civil and Human Rights (LCCHR) National Association for the Advancement of Colored People (NAACP) National Council of La Raza (NCLR) National … Read more

TASC and USOBA Slammed Again by Attorney Generals’ Office to FTC

This record of a conference call was just recently placed on the public record. That call occurred on June 30, 2010. On Monday, June 28,2010, representatives from the Attorney General offces of Ilinois, North Carolina, and Texas participated in a telephone conference with FTC Commissioner Rosch, his attorney advisor, and FTC staff members to discuss … Read more

Debt Settlement Company Emerge America Says Upfront Debt Settlement Fees Need to Go Away

I’m always surprised how often people tell me or comment that debt settlement companies can’t survive without charging all their fees upfront. I say it can be done when consumers actually pay for performance, meaning, pay the debt settlement company when the debt is actually settled. Even the debt settlement trade associations say banning upfront … Read more

New Indiana Law Goes Into Effect July 1, 2010 and Impacts Debt Settlement

It’s really not all that tough to comply but debt settlement and other credit repair and debt relief companies will need to register and obtain the bond before doing business in Indiana. Here is a link to the latest version of the law so helpfully provided by Pamela Fratini, Esq. in her letter to me. … Read more

Texas Attorney General Office Speaks Up to FTC to Please Ban Advance Fees

In a recent article I covered how debt settlement trade associations had returned to the FTC to make their pitch that banning advance fees for debt settlement services was a rotten idea. You can read that article here. A couple of weeks after the trade associations had slogged up to the FTC offices, and after … Read more

Damon & Steve Talk About Debt Settlement Bullshit – Get Out of Debt Podcast

Here is the latest Get Out of Debt show podcast. Today <http://damonday.com>Damon Day and I got together and picked a topic in the debt relief world and discussed it at length to give you insight into the inside information on this topic. We hope to do this on a regular basis to share with you … Read more

Debt Settlement Companies Put Consumers in a Deep Debt Hole. “They Are a Ponzi Scheme.”

Peter Goodman from the New York Times had a piece published recently, excerpts below. It slayed the debt settlement industry as opportunists and harmful for consumers at large. Those that feel they offer a legitimate and fair debt settlement service are not going to like the long article much. But then again, the good guys … Read more

The Latest Delivery of TASC and USOBA Debt Settlement Horseshit to the FTC.

There were some recent interesting meetings over at the Federal Trade Commission. These involved the proposed telemarketing sales rules the Federal Trade Commission is going to put forward. The first meeting was with representatives of The Association of Settlement Companies (TASC) and the United States Bankruptcy Alternatives (USOBA) in attendance. At the June 3, 2010 … Read more

The Easiest and Most Obvious Way to Fix the Debt Settlement Industry and Prevent Regulation

With all the pushing and pulling from the debt settlement industry, TASC, and USOBA over their enthusiastic laments about the debt settlement industry does not need regulation or advance fee bans, one critical point is lost on all, this is an absolutely easy problem to fix. The Current Problem: Consumers languish for years in debt … Read more