ABC debt relief complaints - has anyone used debt relief?

Hi Kae,

Welcome to the community.

This company you mentioned doesn't look good. I see you have made the same request on Yahoo answers about 6 months ago, but no takers.

Odd, that.

chrys

They have a F rating with the BBB. You can do a search here to find other members' experience with "good companies"

Thank you....I signed up with them since october last year...and spent over a 1400 dollars already with them,they said I had to wait untill I got send to collections, but they never contact us unless I contact them 1st..I just curious and wanted to know if anyone who maybe works with them and see the results?? Thanks for the answers.I guess that is what I deserved...I was desperated for help without doing some research...I wish I could have found this website before I signed up with them...

Yes, the lack of info on it is surprising. It's probably a new company. Good luck with them. Come back and let us know how everything goes. You'll be the first testimonial!

Yes, this is a wonderful community and I wish more knew about it. Thanks again for being here.

chrys

Ok, I sent them an email inquring about collection letters from CC companies..because they did not make a quick effort to help me and also from doing some research from internet especially from this website..they seemed to have all trusting sources on their site..such as they have BBB internet security logo but then they are not on BBB.???..making me wondering....so, I wrote a letter Via email to them after all the quietness and I got respond that there were so many activities going on my account and they wanted me to call them back regarding this matters,,,,then I started to speak with collection departments not the collection agencies... myself and tried to explain why I was being so late on my payments, I hornestly told them the truth about my problems and they made an offer to me from my debt aprox $6000 to aprox $3000 in 3 months installment plan...So, I 'll be free from this CC but there are still other CC Co. that they have offered me also..
but after all that, this debt relief company had tried to negotiate with my other CC co. but it;s too late now..I now realized that I could do it myself and save that money I would have to pay them monthly for my debt instead.
Sorry if I confused u...because of my language barrier.

I am about to sign up with ABC...but I feel very uncomfortable....I think I will not bother...thanks to you all.,

Hi,

No confusion at all. And I totally agree, you can do it yourself. It's your debt, you have to face the ramifications, so it is best that you empower yourself. It's very rewarding knowing that YOU did it, and on top of that, you will learn much in the bargain.

Congratulations, keep in touch! You are among friends and we will assist you any way we can.

chrys

1. They make you stop any payments to the credit cards and put the would be payment money in a separate account.

2. The bank will do what they do if you stop paying them, Bad Reports, Calls, Letters and finally Collections. You still don't pay them.

3. The bank will writ the bad debt off or file for the loss with their insurance and get some money from them.

4. The bank will sell the bad debt to a debt collector for pennies on the dollar. ($15k will be sold at about $6k).

5. The debt collector with then will start asking you for the money, however they will settle for close to the "pennies to the dollar" purchase amount; which you pay from the money you have been putting in the separate account.

6. The bank will be asked to provide in writing to the credit reporting agencies that the debt has been paid.

7. You will have to start rebuilding your credit from that state!

8. This service will come at a cost, 12% of your total debt ($1800). Also there are monthly maintenance fees of about $50 for the duration of about 24 to 36 months for which they will provide guidance and negotiators to talk to the banks and the debt collectors.

9. The important condition is that this debt must BE an "unsecured loan" like the credit card and NOT the "home equity loan".

Hi Kae,boy I hope you got out of that company doesn't sound good and an F rating bad news right there.My husband and I are in a lot of cc debt and decided to do it on our own since the settlement companies take so much in fees.We just started being late and got our first call already from one of the creditors and they put an offer to settle for 50% of the balance in 3 pymts I put in a counteroffer to put pymts over 5 months still waiting to here.But the point is you can try it yourself..at least your money is going toward your settlement and not high fees.I don't know how this will go and may need to try a settlement company but need to try it on our own first and you are right this site is great and the people here are wonderful.

:D I really am enjoying this site and these forums. So many people who have had problems and have investigated options and now are telling and helping other people. This site is amazing!!!

I am a senior citizen and have quite a bit of credit card debt and it is almost impossible to pay even the minimums without taking money out of my IRA each month. But I think bankruptcy is still the best option for me. I really do not care about a great credit scrore anymore at this age!!!

But you guys are awesome!!!!

If you are uncomfortable dont do it. If you get that sick stomache on a company than you know something about it that you are just not liking about it and eventually you will not be happy. Find one that when you sign the dotted line you feel good like you know that this will be your answer.

You should feel confident and in control. And settlment may or may not be for you just like the above post. Everyones debt is different and needed to be treated as such. When settlment may be best in my situation, bk may be the only option for say like sapphiresky.

In all honesty no answer is the best answer. It is what is best for you as long as your doing something. Nothing is the only bad solution. There are good and bad to every situation and every program.

When you check out a settlement company with the BBB those companies have F ratings because the have not paid the HIGH fees to become a member the basically BUY a C-A rating. The BEST way to check on a business is the ATTORNY GENERAL in the state that they work in. The Attorney General audits and monitors companies to be sure they are following all of the state laws that are required.

yes, we have been spreading the word on that. this seems to be a pattern with the bbb lately sad but true. but you can still use it as a tool by forgetting the rating and making sure complaints are resolved

Yes, why do so many people put stake into the BBB when it is nothing but a for profit company, that if you pay them they will give you a good rating. If you don't pay them you get an F. Sounds like extortion to me...

Great forum, just finished inquiring with ABC Debt Relief. All my communication were thru e-mail. I just wanted the cliff note`s on how they operate, so after giving them my general info. they e-mailed me back asking me to call them (they needed more info, plus I didn`t give them my right phone number), I resent my general info and "Mark" sent me some figures on what I would pay monthly and that I needed to call him to give him my bank accounts! Now I don`t know about you but Red flags come up when someone ask for that info so early in the process. I started looking on the net to find info on ABC and found your site,THANK YOU, your info was very good and I`m now going to settle my credit card debt myself. I thanked ABC for there time and asked that they did not contact me any further......well several e-mails later and one saying "I didn`t have any other choices but to use them!". I told "Mark" that I was going to forward his e-mail to the Attorney General and he finally stopped. Thanks again, save your money and contact your cc co. yourself.

congrads gouch! dont be bullied into using a company that surely is trying to threaten you to use thier services like "you have no choice" bull you have many choices one of which you did choose. the diy method which is one of the best and cheapest way of doing debt settlement congrads to you!

and as for the previous post, i dont think most people are aware of the bbb, i wasnt till i came to this site. I wish more people were informed that its a business just like everything else. alot of people put thier faith in the bbb, alot more than they should

Debt settlement programs are for people that are going through a hardship situation and can't see the light at the end of the tunnel. They have settled 6 or of 10 of my accounts yes it does take some time but I didn't get into debt over night and why would I think that I would get out of it overnight that is unrealistic. Allot of people can bash programs like this but it does take both parties involvement. As a client when I got my first settlement of .12 on the dollar that made me try and pinch pennies and put more back into the program to try and resolve my debt as quickly as possible. The US is so used to instant gratification, just think how long it took you to get to this point 5, 10, 15 years and you have been in a program for 12 months. They can work magic if you have the money to settle which is why they set you up on a program to have you out of debt but what everyone doesn't realize is, its up to you to make it happen quicker. You may have to live in a cave but its much more less stressful to be debt free in 36 month rather than the alternative of being in debt for 15-30 years. If you not committed to the program you want to look in another direction. TODAY FORD SETTLED ALL OF THEIR OUTSTANDING DEBT FOR .47 CENTS ON THE DOLLAR AND HOW LONG HAVE THEY BEEN IN BUSINESS AND STRUGGLING. YES DEBT SETTLEMENT IS A VIABLE OPTION YOU JUST HAVE TO MAKE SURE IT IS THE RIGHT PROGRAM FOR YOU.

Thank you all..I am educated by this website ..Thank you chrys . I am about half way through and I will be debt free ^^ then I can go visit my family aboard!
Thank you so much

It seems that no one followed thru with this Company. I have had red flags and now I will contact the Atty. Gen. in Texas and find out if they have any complaints.

Thank you.

I used to work for them but no more. I left because of the unethical and prejudicial practices. I would not reccom them under any circumstance. less than 2% graduate if that

I have used them for 9 months and they are wonderful and very helpful. You have to stay in contact with them every step of the way. I will gladley pay them for their services so I don;t have to do the bargining on my own.

I spoke with a rep from their office and they were professional and prompt on a call back. I did not choose to go the settlement route; or could not because I have 45K in student loans.

That being said, I think that with a settlement company you are hiring someone to help you with the discipline and follow through side of things. There was a fee; but you get what you pay for. I know that a person in debt "could" do it on their own, but I have never met one, and I personally would rather hire someone.

The BBB is a SCAM; they are for profit and they don't look at the facts. Lee Stallings is the COO of the Dallas TX. BBB and he is a little rude man.

Manny T.

"Waiting to get back home to N.Y!"

Quote:

I wish that I had found this site before I signed up with abc... the only thing they did for me was to make my situation worse. Just about everything they told me was false. I am now facing bankruptcy because I was sued by my creditors. Abc tells you at the beginning not to worry you this is unsecured debt nobody is ever sued. We found out otherwise. Save your money contact your cl
reditors your self don't end up in my situation

I signed up with them and they negotiated a couple of quick settlements for me after months and months of harrassing phone calls and letters that they said were "normal". I out and out asked them if I would have to pay taxes on the written off amounts and was told no. Now comes tax season and I owe almost as much in taxes as I was able to write off. Fortunately I opted out after I was already in trouble and finished settlements on my own so I had not invested a great amount of money in their scam.

my advice, DON'T DO IT.

With credit cards, the company writes off the balance after 6 months from when you stop paying. Until month four, they usually will not negotiate. Then depending on the company, you can negotiate, even by yourself if you have tough hide, and settle for 40 to 50% and sometimes better. Unfortunately you must stop paying.
There is also some relief for taxes for forgiven debt under the new legislation. Make sure you get some expert tax advice, not a software program, if you are getting 1099s from the creditors.

You also should then start a good credit repair program to restore your credit. It can be done in 24 months or so.

Jim Montgomery
EMAIL DELETED............
SOLICITATION PROHIBITED PER TOS RULES......pm

once u sign up can u get out of it been with them for over a year one debt was settled

ABC debt relief is a scam!!! I have paid them thousands of dollars and they never even paid on my debt. I have tried to contact them several times and never get a response. I now have creditors taking money from my bank account. Please do not be fooled like I was.