Well about a week ago i filed a BBB complaint against the debt settlement comapny i was using. They called me today and said they had my complaint and they had me taped acknowledging the things I said they lied to me about. Like i was on tape saying "oh yes i can be sued to ok thats cool and wages garnished, harrased at work oh yes im ok with all that to!!" But anyways not like they would let me hear that tape or anything. Thay say they will give me a full refund of my $900 I had paid out to them if i sign a retractment to the complaint and sign something saying no more complaints of any sort. Sooo they will email me and i said ok but only for a full refund. Sooo hopefully this little thing they send me to sign states i must receive a full refund or im not signing it. But it looks like just maybe i could get my money back from them after all. Perhaps the squeeky wheel does get the grease???? Oh and in the end I could tell what they were REALLY up to. They tried to trick me into telling them i was using another comapny or maybe considering bankrupcy. "Ms have you been considering bankrupcy at all?" I said NO right away cus it says in their contract if you quit to persue bankrupcy there are NO refunds. Hmmmph
Be carefull that what you sign protects your rights to further action should they fail to follow thru with a valid check. Agreeing to settlement of your dispute on receipt of their payment is fair. Even requiring non-disclosure on their payment for settlement would be fair. Requiring a retraction of your complaint and that you must claim it was false or not accurate is not. What position does this leave you in if they then stop payment, claiming based on your own statement your claim was false? This is a settlement of your claims against each other, in exchange for their refund of your payment amount, and any legitimate settlement agreement should stick to those issues. Overly broad language may indicate they are trying to pull something, and should be "corrected" and sent back for their approval. In the end, this type of business either is interested in their public perception, and willing to settle, or they are not, and based on the amount at issue, you can't force a settlement. Companies and parties to contracts settle all the time with no admission of wrong-doing by either side. The appropriate issues to negotiate are that all claims related to the dispute are being settled, any payment amounts to be made, and disclosure issues. All BBB notes is whether the dispute was "resolved" or not.
UPDATE - I was skeptical but the paper they emailed me to sign clearly states in two places that within 5 days of receipt of the letter i will be sent a check for $915. Of course i'll believe it when i have the check in my hands!! It also states that after this i cannot sue them or bother them anymore. Hmmm a legit company would go through all this to shut me up??? Anyways, wondering what i'll be doing with that money. Well i thought about a new purse or getting my hair done or some new clothes, but int he end I WILL PAY OFF TWO CREDIT CARDS It will be money well spent Soooo now I just have to wait and see if i really get this "check".
They probably didn't want to run afoul of the Credit Repair Organizations Act: http://www.ftc.gov/bcp/conline/pubs/credit/repair.htm You were paying them to reduce your debt, so it should go to reduce your debt. I would probably ask your bank after depositing it how long before you can be sure it won't bounce. A hold on the funds, whether by your bank or by you, is better than bouncing your own payments.
AN UPDATE: Just wanted to give an update. I DID receive a full refund of my money and want to warn anyone reading this to stay away from debt settelemtn and/or debt consolidation companies. Fix your credit problems yourself!! Allt hese companies do is take your money and they really dont help your situation. They just make your credit worse basically. I worked on making deals with all of my creditors and most of them were more than happy to set me up on payment plans and the such. If you are in DEEP call your creditors and talk to them youd be surprised the kind of programs they have to help; I know I was. I have to say the best was citi cards. They have awesome programs for people who run behind. Its been about three months sinch i ditched my debt settlement company and started working on the problem myself and Im almost 100% caught up on all payments!! As a matter of fact I owe one company like $50 more to get myself back on track with themt and them I'll be below all my limits and paying the minimum payment instead of minimum payment + fees+late charges+ allt he other crap!! Just watned to put that all out there!!
That is the sort of solution you will not get by paying someone else to try to solve your own problems. By doing it yourself, you are both more confident and secure, knowing you can better manage your affairs should future problems arise. Furthermore, you know exactly where you stand, and if you want to meet future goals, you need to know that.
