In May 2009, the New York Attorney General issued subpoenas to 14 “debt agreement” businesses, searching out violations of New York law. On May 19, 2009, the New York Attorney General filed fit towards two “debt agreement” corporations and their affiliates, alleging violations related to fraudulent business practices and false advertising and marketing.
A March 2010 CBS Early Show story at the debt settlement industry solid a harsh light on essential debt settlement firm Credit Solutions of America’s enterprise practices, and provided customer recommendation for debt agreement counseling.
Better Business Bureau rating
The Better Business Bureau has adopted an automatic downgrading coverage for all debt agreement agencies. In a written announcement, the Council of Better Business Bureaus said, “Debt negotiation/agreement groups are downgraded in the BBB score machine primarily based on BBB worries with the debt negotiation/settlement industry. The FTC held a workshop on debt negotiation/agreement remaining fall, and comparable worries have been expressed as to how the industry operates and the probability that debt negotiation/agreement advantages a substantial quantity of clients.”