Debt Relief/settlement co/ads on here

[klandsb]

Its funny to me that there are debt settlement company ads on the right side of my screen when I am viewing the forums... They are such a big rip off I cant imagine why they are advertising on here... Guess it pays the bills eh...

[sigferl]

Thanks for your post k. Excuse my ignorance, but why are they a 'big rip off'? Thanks.

Its funny to me that there are debt settlement company ads on the right side of my screen when I am viewing the forums... They are such a big rip off I cant imagine why they are advertising on here... Guess it pays the bills eh...

[klandsb]

Well, here is my experience...I joined 8 mth ago... Paying them $500 a mth...They take the first 2/ $500 a mth pmts so $1000 went directly to them , also a $39 a mth administrative fee is taken out... So after the first $1000 to them your pmt to them lessens a little and your bank account is suppose to get larger as you move thru the program.. In the end I got a judgement filed against me because you have to stop paying on your credit cards /debts/ ... When the judgement was filed they wiped there hands clear of it.. Said they cant tell you what to do its all in your hands.. So they have approx $3000 profit for 8 mths plus the $39 mthly chg and I have $880 in a bank account set up to settle my debts "IF" the credit card companies w/settle... So in the end if I paid them $500 amth for 48 mths I still thought I would be ahead but I must have been delirious or something because it is a huge racket and the New York attorney general is trying to outlaw them in NEW YORK... I think there are a few other states that they are also not allowed to do business in... Maybe for a VERY small percentage of there clients it works. As my caseworker told me WE HIT A SNAG... Anyway, I cancelled my contract with them and got my $800 but am out $3000 that could have paid a few of my credit cards off in full.....

[JRScott]

This comes up now and then and yes they are rip offs.

However the site doesn't chose the ads it is done b y google I think.

[AngelinaCatHub]

This comes up now and then and yes they are rip offs.

However the site doesn't chose the ads it is done b y google I think.

Again, JR, you are correct. In fact, the Google company is so good at this that the text of the thread is analyzed and an appropriate add is placed there by way of the 'key words' used.

The add I just hate and have brought up to the Mods is "YOU ARE STUPID if you go bankruptcy". It was abhorrent to me as I was working with an OP attempting to get over the guilt thing about bk on that very thread. The owner has stated the reason for the adds and it is valid. This is a profit making site and there is nothing wrong at all with that. He gets a commission on every click of an add. The owner keeps this site very tightly under control and I believe he uses the best Mods (I have to say that, Mrs. is one. LOL) but truly they attempt to be fair and keep the thread from going ballistic at times or grossly off subject. 'Hub

[ForumReader]

Well, here is my experience...I joined 8 mth ago... Paying them $500 a mth...They take the first 2/ $500 a mth pmts so $1000 went directly to them , also a $39 a mth administrative fee is taken out... So after the first $1000 to them your pmt to them lessens a little and your bank account is suppose to get larger as you move thru the program.. In the end I got a judgement filed against me because you have to stop paying on your credit cards /debts/ ... When the judgement was filed they wiped there hands clear of it.. Said they cant tell you what to do its all in your hands.. So they have approx $3000 profit for 8 mths plus the $39 mthly chg and I have $880 in a bank account set up to settle my debts "IF" the credit card companies w/settle... So in the end if I paid them $500 amth for 48 mths I still thought I would be ahead but I must have been delirious or something because it is a huge racket and the New York attorney general is trying to outlaw them in NEW YORK... I think there are a few other states that they are also not allowed to do business in... Maybe for a VERY small percentage of there clients it works. As my caseworker told me WE HIT A SNAG... Anyway, I cancelled my contract with them and got my $800 but am out $3000 that could have paid a few of my credit cards off in full.....

I am with you. I had a similar experience with another company called Halo Debt Solutions. Long story, but I plan to file a complaint to FTC about them. I wish there was a way to get at least some of my fees recouped back from them as they seemed to KNOW the program would not work well for me and took my money for their fees. How is that possible to settle all that debt with in 36 months without getting sued or receiving a judgement??

[klandsb]

Believe me, I have written to everyone I can think of to try and get my $3000.00 back.. Lets see, so far, of course Credit Consultants, PA Attorney General, filed a complaint with the Better Business Bureau and also filed a complaint w/ TASC (The Assoc of Settelment Companies) which I knew was frutal because its in cohuets with them...
SO far not one word from any one them... My boyfriend is very pi**ed off at them..So he called Credit Consultants on last friday for me... The said they need a power of attorney to talk to him...So I guess thats my next step is to send them a power of attorney for him so he can talk to them...He is a professional man and can really talk a good talk so maybe I hve a chance if he goes ballistic on them.....
That money would help me so much to pay my lawyer fees and such...
HMMM think I will write the PA Attorney General again since I havent heard a word from them... I am sure they get a million compaints a week...

[eddiep]

When you file bk you have to list anybody that you have paid $600 or more to in the past three months, just wondering if anybody has listed their debt consolidation payments. Is this considered a preferential payment that could be recovered by the trustee to be paid to unsecured?

[klandsb]

When u say that could be recovered by the trustee do you mean they would request that Credit Consultants give them the money back ???????

P.S. I just wrote the Pennsylvania Attorney General AGAIN ...Makes me feel a little better but who knows if it will do anything. There was another post on here prev and the guy was from like Missouri and he wrote the Attorney General and ended up with his money back...So maybe you should try that too...They have a complaint forum online to send in complaints...

[eddiep]

When u say that could be recovered by the trustee do you mean they would request that Credit Consultants give them the money back ???????

Yeah, but the trustee wouldn't give it to you, he would give it to your creditors, and I am not even sure if he could get it back, I guess I was wondering outloud if this would fall under preferential payments.

I contacted a debt solution company as my first step, they told me I should file for bankruptcy, I guess I called an honest one.

[klandsb]

YOUR VERY LUCKY... The person I talked to more of less talked me out of BK...Said it was the worst thing you could ever do ..... Sometimes I am so naieve (not sure if that the correct spelling its late and I cant sleep so forgive me).....Live and learn..

[eddiep]

Thats ok, its late, i can't sleep or read, loods gook to me!

Hubby had taken a big pay cut, so it was a no-brainer, well I guess not to me, cause I called them. But I do think it was a legit company, I think their name was CCCs

[kornellred]

Bankruptcy is the ultimate solution to financial problems. It is guaranteed by the US Constitution, stops all collection efforts and judgments, and beats the pants off any debt settlement arrangement hands-down.
There might be a very narrow spectrum of individuals that could somehow benefit from debt settlement, but the timing and circumstances have to be just right.

The most amusing scheme I have ever heard of is where a debtor hires a firm to invalidate unsecured debt by way of invocation of language in the Federal Reserve Act which seems to plainly state that lenders are not lending real money to borrowers. The firm harasses creditors endlessly, demanding that they substantiate the debtors indebtedness in light of this language. They can't, but that does not invalidate the debt in itself. Eventually, the creditor will make a mistake involving violation of some portion of the Fair Debt Collection Practices Act and the firm will initiate a lawsuit against the violating creditor, who will settle for invalidation of the debt. Voila - the debtor is no longer a debtor. They say it takes about two years.

Lots of luck with that one.