Credit Solutions - Is it a scam company?

Please do not use credit solutions. I signed up with them and all my accounts went to debt collectors and I was threatened with lawsuits. The creditors called all day, every day. They even called on Christmas Eve. I was near suicidal. I finally got a home equity loan and paid off creditors. I settled with them myself. My credit was totally ruined and Credit Solutions got $3000.00 for doing nothing. Every time I tried to call them, I was transferred and put on hold for up to 1 hour. I filed a complaint with the BBB and eventually got $1,000 back. I didn't settle even one debt with them. It's my mission in life that others do not suffer the mental anguish that I did. Call your credit card companies yourself and try to settle or make payments. DO NOT USE CREDIT SOLUTIONS!

Hi, Everyone, have you ever took a chance in your life?
have you ever had your credit swipe clean. it's only 175.00 and a 475.00 cupon to get you started.... Do you believe that or is it a host in Andrews, S.C.

Palmetto Credit solutions,
you have to pray and just let go and let God. If it's for you then who in the hell can be against you. let go and let God. If it's a scam God will punished all that work in the Evil to get people of Andrews money....

I just got into the program with them one month ago. I need someone to tell me the truth about credit solutions and what i can do to get out of their program.

so, they never pay off your debts when they say they will settle. How's that?

solicitation removed --- mobile

I was researching for a Credit Solutions charity event and found this post. It’s amazing... this post originated 3 years ago and still going strong. It pisses me off when a few disgruntle whiners attempt to ruin a good thing for the rest of us. I've done my research and I'm with Credit Solutions... have been for a while and I have no problems. Maybe because I follow the guidelines... I don't do "x" when I was told to do "z" then cry because I didn’t get my results.

IF you do the research... out of 200,000 families... only 1694 have complained. That was pretty good odds for me. IF you do the research... most "debt" management companies have a poor BBB rating. Unless, they are like Valerie who is using this post to gain additional business for her Credit Repair company, and offer additional services outside of the "debt settlement" arena. Valerie offers you a chance to start your own business. If she didn't, her business would not have a great rating either.

Folks, the bottom line... we need help. We made poor choices, bad things happened to us to make the situation worse... But some of us never learn. We think we can continue doing what we want and face no consequences. It is those few who want to cry fowl and lawsuit who ruin it for the rest of us... when in fact, if you did your part... you would have been fine. If you can't abide by the guidelines, don't sign up. If your credit is messed up, don't blame anyone other than yourself. You wouldn't have gone to Credit Solutions or anyone else if your credit wasn't already messed up. So don't blame them. If you filed bankruptcy and didn't follow the court’s guidelines... the court kicks you out and you now owe your creditors the original balance plus fees and interest. Working with debt management is no different. IF YOU DO NOT pay what you agree... then the deal is off... and you will be worse off. So don't enter into an agreement with anyone...unless you know that no matter what... you can handle it. Again, I'm almost done with my program with Credit Solutions. I've had no problems whatsoever.

No debt management company, not even Valerie’s… is JD Powers certified… NEVER. And just to be clear… Credit Solutions is a debt management/settlement company. We go to them in lieu of bankruptcy… so again… I doubt seriously Credit Solutions ruined anyone’s credit. Please. And, there is a distinct difference between Credit Repair and Debt Settlement. Credit Repair can remove any false items from your credit report, temporarily remove correct items, and leave a whole in your pocket. And yes I said TEMPORARILY remove correct items… in 2-4 months those items will reappear on your credit. Debt Settlement negotiates your debt… provides a more reasonable principal and interest, and gives you a little extra in the bank each month.

What many people don't realize is that until your account is funded, you will continue to be subject to collection actions, and your credit will continue to deteriorate. If a lender refuses to settle, you could end up in court with your wages garnished. So if you decide to settle your debt, your credit will reflect increasing delinquency, charge offs and court actions that may occur. Until YOU fund your account per your agreement. Yes Credit Solutions has had some issues in Idaho, New York and a few others… but none with me. And they are on the news constantly with nothing but positive footage… they keep receiving awards… and again has helped over 200,000 families including me. These guys manage over $30 million dollars per month in people’s debt. We can’t even manage our $20,000 to $50,000 in debt without having issues. I guess that’s why they are the largest for profit Debt Management Company in the country, continue to receive awards, and continue to stay in business.

The bottom line… misery loves company. If you always listen to the “whiners” and “criers” you’ll never accomplish anything in life. The process works if you follow the guidelines. If you don’t, you’ll end up like the rest of the “whiners” on this post… crying because it’s always someone else’s fault when bad things happen. Once a deal is made, a settlement has been offered… pay it… or pay the consequences. Debt Settlement is risky. But with risk can come reward. Do what works for you and what you feel comfortable with.

Sort through the bull… toss out the soft sales pitches to “use my company” or “have you heard of this company”… and decide for your self. If you can follow the guidelines… go for it. If you cannot… don’t sign up… it’s that simple. But whatever you do… please don’t sign up, make up your own rules…. then blame someone else for your own stupidity.

And, no… I am not affiliated with the company. I am a customer. It just pisses me off to see and hear people steer people in the wrong direction, when they know for darn well… they messed up… and the fault is solely their own.

Ok... so the first post was a little "soapbox sermon"... So, just to be clear… A debt settlement company charges a substantial enrollment fee and requires that you pay a monthly amount. With Credit Solutions… you put the money in your own savings account… that account is for payment to your creditors. The money has to accumulate to an amount equal to 20 percent to 50 percent of the debt BEFORE it's paid out.

Again, what many people don't realize is that until that account is funded per above, you will continue to be subject to collection actions, and your credit will continue to deteriorate. If a lender refuses to settle, you could end up in court with your wages garnished. Stay on top of your letters so that you know who settled and who didn't.

If you decide to settle your debt, your credit will reflect increasing delinquency, charge offs and court actions that may occur until your account is funded. However, once it's funded you'll be out of debt in 6 to 36 months... not 36 years!

And of course your creditors will try to get you out of the program… they want their 100% plus fees, not the 50% and lower interest they agreed to. If they see a chance to get the 100% they will take it… wouldn’t you? Get that money into your account and start paying… that’s how you get the calls to stop. That’s where you begin to see progress. Follow the program.

credit solutions is the biggest scam on earth. they claim they send letters to my debitors yet none of the three that were on the account ever heard from them. they are a SCAM SCAM SCAM

Again... maybe I'm the only one who understands English... or maybe my salesperson was just honest with me... I don't know. I was told upfront... any debt I enrolled into the program would have to go into default BEFORE Credit Solutions could have it settled.

Common sense, if your creditor knows up front that you are attempting to settle ... they WILL NOT settle. But if you are in default... they are afraid they will get nothing... therefore they settle and are happy you are attempting to finally resolve your debt.

So why on earth would Credit Solutions contact them before your account is in default? Again, I was told everything upfront. I'd been paying on my accounts for years and never getting anywhere. I have two accounts left to settle out of twenty. I have no remorse. Before I went to Credit Solutions... My interest rates rose, my limits decreased, and my scores dropped because my balances compared to my new limits were too high. I didn't agree to those terms with my creditors, I would have never gotten those cards with those rates. I never would have spent as much with limits so low. They did what they did... mess me over…I did what I did refuse to take it… I’ll pay what I owe and not a penny more. Can I pay… yes. Will I pay… no.

I got out of debt in nearly 3 years instead of 27 years; my scores are rising because accounts are being paid off. I will have a nice little savings account when all is said and done and just 3 credit cards. I kept the cards that the creditors left with reasonable rates and limits.

Any debt you enroll into the program MUST and WILL go into default. Credit Solutions will do nothing until that happens. While your accounts are going into default, put your money into your savings account. DO NOT spend it. Once your accounts have defaulted... 3 to 4 months... Credit Solutions will contact your creditors. You need to call Credit Solutions and let them know that the accounts have defaulted... as each creditor is different some take 2 months, some 4, some even 6 months. At that time, you should have enough money saved to begin paying off your first creditor. If you don't... that's not Credit Solution's fault... it's yours. But that happened to me; so I called, and my credit card company accepted my settlement in 4 monthly payments. Also, you have to pay the creditor, once a settlement is reached. Credit Solutions backs off and you set up payment with the creditor.

It is super simple folks. I know it is scary. I know it's tough to field those calls from the creditors. The person calling you gets a nice bonus if they can get full payment out of you. But they’ll get zero if Credit Solutions handles it and not them. So yes those creditors will threaten you, lie and tell you anything to get their money.

But if you hold on tight, the ends can really justify the means. It’s kind of like getting the flu shot. You’ll get sick at first, but nowhere near as sick if you didn’t get the shot. This is the same thing. At first (a few months) you’ll be in Credit Hell… but then… you’ll be able to enjoy life while everyone else around you is getting sicker and sicker.




Here's the true breakdown:

(1) Enroll in the program
(2a) Stop paying on your accounts and let them default
(2b) Put that money into a savings account... don't spend it
(2c) Dodge or answer those phone calls... there will be A LOT
(3) YOU let Credit Solutions know when you get your default or legal action letters from your creditor
(4) Credit Solutions then contacts your creditor... AND NOT before
(5a) A settlement is arranged anywhere from 10% to 70%
(5b) YOU accept or decline and wait for another offer
(6) YOU pay the agreed settled amount
(7) The process (items 2-6) starts over with the next account

Understand, how fast or slow it takes is up to YOU. You're using Credit Solutions to get a better settlement offer than you could get on your own. That's it. If you don’t call them… they won’t call you. You are told up front it is a partnership… do your part and they will do theirs.

Now, if you look at the number of complaints verses the number of clients… less than 1% is complaining. And I’m sure it’s the same… bottom of the barrel lazy folks who caused rates to rise for the rest of us from the beginning.

I recently complained to the BBB about Sprint to get my issue resolved. Did you know Sprint has like 32,000 complaints against them? Does that make them a scam? Are people going to stop using Sprint? Look it up if you don’t believe me.

Credit Solutions charges a hefty fee, but it’s worth it. And they charge it monthly over 18 months. Companies like CCCS and Credit Repair companies take the money upfront.
To anyone considering Credit Solutions.... if your salesperson doesn't tell you the truth... I have. Ask for another salesperson… and get with the program. If you have tough skin and can follow it… it’s the best thing going in this economy.

So, Don 54, Prissy, and anyone else, don't let these whiners ruin it for you. For me, I was $82,000 in credit card debt. Credit Solutions saved me $49,283 off my balances ... in just 3 years... I am managing to pay $32,700 (instead of $82,000)... I will have money in the bank, 3 emergency use credit cards with zero balances and single digit interest rates, and no debt accept my home and car.

Anyone complaining after just 1 or 2 months in the program didn’t follow the program. Anyone complaining after 20 months is just stupid… and clearly not on top of their finances from the beginning. Is it just me… who with even an ounce of common sense would continue to pay someone for nearly 2 years with nothing to show for it? I think we all would have gotten to the bottom of it from jump street. But again, that was someone who didn’t do their part… if you didn’t save the money… what are you going to settle with? If you didn’t call… what were they suppose to do? It's simple to me, maybe I’m just odd.

Maybe it's me, but I hate half stories... please tell both sides. As a rule of thumb, if you have poor credit or trouble paying your bills, regardless of industry... you pay more or up front. Rent a car with good credit... no problem. Rent a car with bad credit... pay a upfront deposit along with the fee. Have great credit buy a house... no fees. Have questionable credit... buy a house... pay upfront fees. The list goes on and on. But Credit Repair, Debt Management, etc can not charge people, who don't or can't pay their bills, upfront for their services.

Secondly, when do we become responsible for our common sense? Who can honestly believe that if you don't pay your bills for 2 to 6 months that your credit won't be affected? Who can honestly believe that if you pay a company less than what you owe your credit won't be affected? Come On! There are consequences to your actions... yes you can pay less than what you owe... but this is the consequence... a lower score.

Sprint has over 32,000 complaints with the Better Business Bureau and a poor rating... where is their Nightline moment. If Credit Solutions is the largest debt settlement company in the country... wouldn't there be some unhappy customers? That is just part of doing business... it is impossible to please everyone.

As long as we remain a "fast food" nation... wanting everything done yesterday with the least effort on our part; there will be Credit Solutions, Lexington Law Firms, Jiffy Lubes, Wal-Mart’s, etc out there. They are not preying on people. People just don't want to do the work themselves so someone decided to capitalize on it.

"Jane You Ignorant Slut" this is a negotiation of your debt. No one business is the "Night in Shining Armor" it's a numbers game. If you didn't have major recent balance tranfers and you don't get any summons, good negotiations will follow, if you know how to play cards. If your debt is diversified over plenty of different banks, you're less likely to be pursued legally. If you have one card through a major bank with a balance of 40k, forget it. If you have 12 cards with 5k balances and you point out you're with a large national program that has you saving for a settlement offer, you'll probably come out debt free with a score that's beautiful. Any bank or they're outsourced collection center isn't going to "comfort you" that you've signed up to negotiate against them. Are you taking some kinda "anti-common-sense" pill?

I have been told by cccs that my only choice is to file bankruptcy because credit solutions did not inform my creditors of our agreement. They made me sign a power of attorney and told me not to answer anything from creditors. They took almost 500 dollars from me but cost me thousands in charge off, interest, and late fees because my cards were current until they told me to stop paying them. I already filed a complaint with bbb I dont know what else to do to get my money back. and on top of that I am going to have to pay a layer and court costs. This company should be locked up for life. They destroy americans that think they are taking a step in the right direction with their finances. Especially in this recesion who can scam famillies and people who have nothing to begin with. These credit solutions people are wrong and karma is gonna bite them.

Ok. I have been in several "shady" businesses you all know and some of you hate. Cars, credit repair, mortgage lending, insurance sales and some others. Keep in mind all of these services can be very highly valued services when done well correctly. These industries DO help a lot of people who will say good things. However there are always the one or two or ten or the thousands that rant and rave about getting scammed or taken advantage of or ripped off. I AM SICK OF IT. I am not defending this or any other company. But if you are going to enter into a BUSINESS TRANSACTION INVOLVING THOUSANDS OF DOLLARS with a person you have talked with one time and a company you never researched, THEN YOU DESERVE TO GET SCAMMED. That's how scams work. Even in "legit companies." They "hook" you and all they want is to close the deal. THen they go on to the next deal. These commissioned sales people are not really customer service people in the first place or they would not be asking for your money. If you are not willing to do your research about the company or understand what you are really getting for your money, you should be smart to not move forward until you do. If you are expecting to get specific results then you should HAVE THAT PUT IN WRITING BY THE COMPANY. If you do not have that then you have a post on a website between a bunch or other people complaining because they didn't read their paperwork either. This is a very buyer beware world we have now. When you enter into an agreement YOU SHOULD UNDERSTAND IT. If you need help, then get help. I am sure Valeri could refer you to an attorney that would review it for you. I would rather be out a hundred bucks then thousands.

My point is be responsible for yourself. If you didn't read your agreement then say that. Don't go back and complain "they didn't settle my debt" if they don't guarantee to and you didn't ask enough or any questions at all.

EXAMPLE:
When you order a meal at a restaurant, usually you know EXACTLY what you want. The second the food arrives you know if its right or wrong. If its wrong you can tell them and they will fix it usually with no problems. This a clear mutual understanding of the "agreement entered into" when you ordered. If you ordered a steak and they brought you something else, HOW STUPID WOULD YOU LOOK IF YOU SAID I DIDN'T READ THE MENU?

Unfortunately this happens all the time. People don't know what they are getting until they decide they don't like it. I know there are individuals out there that are crooked and will lie to people. However if he has gone against something the company clearly outlines that is not the companies fault. They are responsible for the employee but again, if you didn't read you paperwork who's to blame.

The funny part about all of this is that MOST OF IT YOU CAN DO YOURSELF to a large extent. Geez, you can find information on a million subjects in about 3 seconds nowadays. Have we become so lazy and dumb that we cant take an hour or two to learn about something WE ARE GOING TO SPEND THOUSANDS OF DOLLARS ON? If that's the case then call me in my office. I am happy to help you.


"There's a sucker born every minute." -P.T. Barnum

I agree with you Former, but the problem is when you hear the same story too often about a company you're bound to get suspicious about it.

I was with credit solutions for about 6 months after the whole "dont answer your phone" and "ignore the mail" I saw nothing happening on credit solutions side only money coming out of my bank account. After credit solutions took about 1500 from me I gave up and closed my account with them. I then find out that all I did was lose 1500 dollars and accumulate 1000's of dollars worth of interest from not answering the phone. What a joke im in more debt now them when I started. And the money I paid them could of payed off one of my credit cards. Stay away from credit solutions!!!!

I need some advice! I enrolled with credit solutions last October. At the time, all my credit card were paid current. Once enrolled they told me to stop making payments and send registered letters to all my creditors giving CS power of attorney. I ended up paying over $80 to do this. My creditors kept calling demanding payment and said I shouldn't use CS, it was a scam. If you don't have thousands of dollars to settle your debt when the settlement offers come through, you're screwed. Most creditors want their settlement in 3 installments. If you owe $5200 to one creditor, you'll be paying $1733 per month. That is a mortgage payment! Now if all creditors wanted that payment at the same time? You got it! you might as well lay down and let them shoot you . I decided to borrow againist my 401k to pay off all my creditors. My last settlement was made yesterday. I called credit solutions and explained that I had paid off all my creditors with little help from them. Yes, they did get me a few settlement offers but the majority were only a few hundred dollars in savings. By the time the credit card companies add on the late fees and interest for the last few months of NOT making payments, resulted in higher payoff amounts. I enrolled with signing an agreement to make monthly payments to CS (they automatically withdrawl the payments from my bank account). I want to know what their recourse could be if I close that bank account and stop making payments to them? Can they sue me? will they most likely sue me? They made most of their money up front with the 3 $400 payments. then its 192 every month for the next 21 months. I don't think they count on most people being able to come up with enough funds to pay off their debt in just 9 months. I'm not requesting they reimburse me what I've already given but I don't feel like I should continue paying them for the next 15 months. They also were NOT able to get settlement offers for my Mervyns account or my Dell account. When enrolling these accounts the Sales Rep NEVER mentioned that these two creditors REFUSE to work with CS. I was only told about this after the agreement was signed. Those two creditors came after me for all the late fees and interest for the last 9 months. This cost me over an addtional $1400! Something else CS does NOT disclose. If you settle a debt and more than $600 is forgiven, that creditor is required to report this to the IRS. You will be sent a 1099-C (capital gain) at the end of the year that you will need to claim. so you will still be entitled to pay 15% in taxes! Honestly, I could go on and on about how dishonest and unrelying this company is. If you want to rest peacefully each night, I strongly suggest you go another route.