Business & Finance Debt

Tell Tale Signs of Debt Relief Fraud

For all of the millions of American borrowers who've grown more than a little terrified over the prospect of their credit card debt balances climbing further out of control, any debt relief plan that promises a trouble free strategy toward financial stability should rightly appear to be a near miracle.
All things considered, it's more than reasonable that desperate borrowers with only the most rudimentary understanding of unsecured lending policies would not want to look a gift horse in the mouth.
At the same time, though, consumers have to beware of the new breed of scavengers that have crept up during the recent explosion of popular interest within the various new and unfamiliar debt relief programs shaking the foundations of the consumer finance industry.
Following continued customer dissatisfaction, the office of the Attorney General of the United States has recently focused consumer protection efforts upon the new raft of supposed credit card debt relief specialists who guarantee jaw dropping savings, FICO score reversals, and an immediate return to budgetary normalcy for just a nominal up front fee.
As you might imagine, the actual amount of the money order requested by the con men could be counted upon to leap up dramatically between the first consultation and what would be described in grave tones as the formal agreement of partnership - an event generally centered around some sort of official seeming documents to be signed by both the borrower and the debt relief specialist of record.
There almost certainly will be a money order, by the way, and the scam artist playing the part of helpful counselor will have diligently practiced some sort of believable excuse for why they only accept that form of payment.
(some of the more sophisticated operations do take checks and plastic for high stakes marks, but the tracking procedures tied to twenty first century bank accounts make this gambit exceedingly rare) According to increasingly sensational media reports surrounding the new scourge of hucksters posing as credit card debt relief professionals, some of the authorities assigned by the Federal Trade Commission to investigate these claims - seasoned analysts in white collar crime - were stunned that even educated and successful executives and business owners had not a single suspicion as to the legitimacy of the enterprise.
In fact, the eager clientele did not bat an eye as the estimated cost for the vaguest of services seemingly doubled with every phone call between the borrowers and the men and women they believed to be financial counselors.
Elaborate swindles borne upon the conceit of Americans who wish to believe themselves craftier than their neighbors - and, especially, their creditors - have been operating in one technique or another for centuries, and periods of economic distress always bring out both predator and easily flattered prey.
Now that the breathless demand for innovative credit card debt elimination programs such as settlement negotiation have dominated newspaper financial pages alongside an industry wide crest of support, families that would have been sure to call every single reference submitted by an applicant for landscaping or air conditioning repair were nevertheless almost eager to surrender the responsibility for their credit card debt turmoil to whichever stranger seemed most confident.
There's more than one lesson to be learned for both ordinary borrowers and the U.
S.
financial system as a whole, but we'll focus upon the most salient fact: consumers truly interested in achieving a permanence of debt relief must acknowledge the mistakes of their countrymen and commit to full participation along the journey of fiscal redemption.

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