Preferred financial Services - How much can you depend on them?

All businesses doing legitimate business are registered with the licensing authorities of your state. Check with the Dept of finance if there are any reports of Preferred Financial Services scam. You can also gather information from the local attorney general office of Massachusetts. Someone who has already dealt with that company will suggest you some guidance here.

Stay away from this company. They have a long list of convicted Felons running the place. Preferred Financial Services rip off!! Wayne Ahlquist Felon, Lamont Milton Felon, Chris Carter Felon. Debt settlement can be done yourself save your money and join a local credit counseling Company that charges no more than $75 in fees up front and no more than $20 a month.

google .....


[color=DarkRed]Marketing post removed as per forum rules - Mike[/color]

rich11209: What does that have to do with Preferred Financial?? Stop advertising your service on this board! Jlong4> Take my advice and go with a CCCS company that is a member of the NFCC. Goodluck

Stay away from Preferred Financial. Your first two payments go straight to them and then they get half of your payments for two years. In the meantime you are open to being sued by your creditors. In addition, I dropped out after receiving more info in the welcome letter and lost my first payment to them. When I tried to get it back, I received nasty emails from a staff person with PFS. Check Preferred Financial Services Better Business Bureau reviews and see if there are any more complaints.

NEVEN EVER under ANY circumstance use these guys. I am Gonna lose EVERYTHING because of them...It is criminal. Bfore these guys I had a chance, now for my family it is over. I might as well blow my brains out and let the family collect the insurace so they have a roof over thier head....yeah these guys will really make your life just great

This company called me back in June and I signed up with them and haven't heard anything since. They drafted 3 payments so far. I called at least 5 or 6 times in the past 2 months and never get anyone on the phone. I think I am going to call my bank and stop the debits. Anyone else not getting through either?

Hi, i've been with the company for about a year now and i've had nothing but good experiences with them. Are you also a client of the one in Andover, MA?? They used to be in Lawrence, MA but moved to a bigger office i guess. Anyway, i've never had a problem getting anyone on the phone and don't have any Preferred Financial Services complaints to make. They're always there during their working hours and they're always pretty helpful.... it does kind of suck going thru a program and not paying my bills, but it was either that or file BK. anyway, my credit isn't all that great now, but it wasn't getting any better the way i was going. i got 2 accounts settled out and 3 more to go.... make sure you're dialing the right number 866-992-7400....

They did a good job with me. They Got My 17k 1st Financial Bank card settled for 8.8k In about a year. Can't say I have Preferred Financial Services complaints or anything bad to say about them.

What was you're total financial condition when you signed up? Was that the only account that you had? What state do you live in and did you receive any telephone calls from Preferred Financial Services Inc.? [FONT=Verdana][FONT="][/FONT][/FONT]Thanks

AnnMs,

I was told that they would not settle anything less then for 50%. It was the only card I did with them. I originally got scammed by Hess Kennedy and Actually did some research on these guys and I liked them. I lived in California at the time. Preferred Financial Services Inc. kept me very informed. They set-up an account and I got to see everything that was going on. Where my money was and where it was going. I did not receive any calls after a month or so. I originally contacted 1stfbusa and they told they would not settle and played hardball. Year later got half of it paid. I have all records of it and the original letter stating its paid in full.

Also AnnMS,

I forgot to tell you I'm currently paying it off right now. I did a monthly installement plan of 600 dollars over 12 months. My final payment is in May. I can't wait for that to be finished. I could have a one large lump sum for 7k. But I could not afford it.

I recently signed up with Preferred Financial Services corporation and have been skeptical from the start. They have taken 4 payments. Have gotten letters from attorneys saying they will take me to court. Told Sonia Vasquez at PFS and she said it is possible but based on her experience they never do. Anyone out there who can relate?

scaredstiff,

I know what you are going through. What you need to do is respond to the collectors and lawyers. Tell them you are in financial hardship and you can't pay off anything right now. I went through them and also talked to Sonia Vasquez a little over a year ago. Like I stated above 1bfusa tried to tell me that they were going to take me to court kept calling me. They stopped calling and eventually I was getting calls from preferred financial services telling me about offerings. I got my first one 6 months into the program. It was a settlement for 8k but one large lump sum. Could not afford it. few months later they said 7k lump sum or 8.8k in monthly payments. I took the monthly payments. I only have 4 more to go.

You will make it through this. We are all here to support you.

thanks dfawaz,

I was told by PFS not to speak to anyone so I do not jeopordize negotiations. Did you contact your collectors even though they tell you not to? My husband had one on the phone the other night who was playing hardball with all sorts of threats of court action. I thought he would have a heart attack but I told him this was all games and to not speak to anyone as advised by PFS..../

They really didn't contact me all that much. I told them I couldn't afford to pay. The lady I was on the phone with was really nasty. She was like we won't settle. We will only take what you owe. I got really nervous. But when I got that settlement letter I wanted to call that b**** and tell her off. I originally asked the CC if they would stop all interest and let me pay it off. They laughed at me. They would have got there whole 17K but only get 9. So Im laughing now.

Everything I've read on this page about PFS is scaring the ---- out of me! I've been in a 48-mo. program with them since 1/06 and it doesn't look very optimistic that they can settle the rest of my debts. PFS took my first two monthly deposits ($660) as their upfront fee, plus I pay a $40 service fee every month, and a 25% fee of the settlement amount. To date, of nine creditors in the program, PFS settled only three small debts during my first year, and of the six remaining accounts, four involved summons/judgment or are receiving small payments to buy some time. This doesn't look good at all and I can't afford an attorney to help me get out of this mess. With only 10 months left in the program, I won't have enough time or funds to settle the biggest debt, which has grown from $6800 to nearly $11000 from interest and late fees! Does anybody have any advice, or should I just let the program expire and let the unsettled debts fall back on my lap? I joined the PFS program to avoid exactly what I'm experiencing right now...fear over wage garnishment and stress beyond belief. I wish I hadn't seen this website!!!

mbp,

I have a couple of questions. Are you going through creditors or Collection Agencies? If all else fails what you might want to think of doing and I know this may be hard is filing for bankruptcy.

I appreciate whoever replied to my concerns. I joined the PFS debt reduction program for nine accounts - with one account in default after missing a couple of payments. PFS settled three accounts directly with the creditors within the first months of my program, so it never went to collection. The balances were fairly low, so settlements were easy to pay off. And of course PFS got their 25% settlement fee on each, which I happily paid. I felt very positive that PFS was doing their job for me. Unfortunately, it went downhill after that with my other accounts going first to a collection agency, then to attorneys and finally summons. All of this has me wondering what PFS was doing (or not doing) to allow things to reach this stage one after the other. One debt had to be paid in full ($1800) after a bank levy cleaned out my account! Another debt would not settle, which had to be paid almost in full ($6000) to avoid another legal hassle. It took two years to pay off that one debt using funds I deposited in the program. So between these two debts alone, paying them off without a settlement used up approx. $3500 in projected funds that should have gone to negotiate other settlements! So I haven't been able to build up enough funds in the program to deal with the balance of accounts. I've been dodging one legal bullet after another and don't feel any more secure now than when I got into program. Instead, I feel hopeless about it. As of today, I am making $50 monthly payments to one dept. store account just to defer the judgment while PFS continues to try to settle (?). Another dept. store account is currently in judgment, and PFS is working on a monthly payment arrangement on that as well for $50, but again, no debt reduction and payments could last indefinitely if they can't lower the balance. How will this all end? Add to that the $40 service fees I'm paying PFS each month for 48 months, plus the $660 upfront payment they got at the start, and I could easily end up paying a lot more in this program if it doesn't get under control. Debt free in 48 months? That was the hook. And to top it off, the BIG enchilada awaits me at the end of the line - the $11,000 Visa account that PFS has yet to negotiate. How can they? There won't be a dime in the fund when my term expires. What happens then? Am I in a position to qualify for bankruptcy if I have entered a debt reduction program that failed me at the end? I am a single woman with a very humble income, and I take care of my elderly mother who has no income at all. I am stretched to the limit. Is there an attorney who would even bother to help someone like me? Sorry to go on like this, but I don't know where to turn :-(

Hi mbp1850,

I think you should have filed for bankruptcy to begin with, before your credit got ripped to shreds by debt settlement. According to the National Consumer Law Center's investigation into debt settlement companies [ http ://w ww. consumerlaw.org /initiatives/credit_counseling/content/DebtSettleFINALREPORT.pdf (remove spaces)], it was found that only 1.4% of consumers actually complete the program, and 43% canceled just after paying all the companies fees.

So basically, all they really do is delay the inevitable, for a profit. Debt settlement is only good for those who have a low level of debt, such as payday loans. Using a settlement company for a large amount of debt is like using a hatchet where a chainsaw is required. You can chip-chop away for quite some time, and even still succeed - but most likely the blade will chip, the handle will break, and your hands will become filled with blisters.

Many states are developing laws to restrict and regulate the debt settlement industry, quite a few states already have such laws on their books. And 4 states have already adopted the Uniform Debt-Management Services Act and more are pondering it. I strongly support the UDMSA.

chrys

If you are living paycheck to paycheck then bankruptcy is the best way to get out of debt.

ChrysHenderson , I would have to respectfully have to disagree with you. Many people have benefited from debt settlement who have had a lot of debt. I have settled tons peoples debt who owed over 100k. The problem is that some bad settlement companies like Credit Solutions who will put some one in 4 and 5 year program which is retarded because they know full well the likely hood of them getting sued is super high. If you can't afford at least a 36 month program or shorter than CH7 or 13 is you best option. Plus a lot of bad companies sugar coat the settlement process to get the sale so unfortunately the client doesn't really have a clear understanding of what they are getting into and what to expect. For example , I have secret shopped other companies and heard some say things like " once you get start settlement your credit will be bad but will get better when done" or " you might get some collection calls but tell them you are in a program and the calls will stop." These types of sugar coated lies give the client a false reality of what to expect from settlement and in turn cause the client to want to cancel because they were misinformed. If all settlement companies would have very clear disclosures on their contracts like TASC members these stats would be better regarding debt settlement completion. I guarantee you your debt settlement companies that are TASC members have a MUCH higher % of completion because the pros and cons are laid out quite clearly in the contracts. I do completely agree with you though on some sort of regulation need to be made to better keep settlement companies in check.

It's a good feeling to be able to vent on this forum, and the feedback is helpful. If only I had been better informed in late 2005 about filing for bankruptcy. I was under the impression the laws had changed at that time, and that I could no longer file. That's why I opted for this program, thinking it was the only way out. I admit that I was fearful when I started missing a few credit card payments and panicked big time. Before I knew it, the minimums had tripled with past due amounts and hefty late fees until it was too much to handle. I checked out 5 or 6 debt settlement cos. on the internet and called three of them. The demeanor of the persons who answered the phone were very cold and impersonal, almost crass at times. It turned me off, until I called PFS, who were quite the opposite, offering a friendly voice and reassuring words that everything will work out. When my program was activated, their advice to me was simple: "OK, don't make any more payments to your creditors, and you can relax now." That's all I had to hear! I understand what you mean about a 4-5 year program term encouraging lawsuits, but a 36-month term was impossible on my income, so I had to go with 48 months. But as you now know, PFS failed to achieve some key settlements for me and I paid dearly for it. With the debt I have left and 10 months to go, I don't know if I should withdraw from the program, or let it play out and see what PFS does. I can't settle that huge obligation in such a short time, so does it mean the debt falls back in my lap to handle on my own? The balance has increased almost 40% after not paying for three years! I don't have the skills to fight this alone. Is bankruptcy still viable in my case? What's your take on this also: My agreement with PFS states that I must provide 2 weeks written notice in order to withdraw from the program...AND...that I must pay THEM a 25% settlement fee on any accounts I settle within 12 months of leaving the program! Is this above board? So, if PFS does ZERO negotiations with a particular creditor, and I achieve a settlement on my own after leaving, THEY get a fee? I could kick myself for not paying attention to what was happening, but I've had many personal family distractions, including a brother battling incurable cancer, that I just allowed this to take care of itself. But it's no excuse, so if anyone wants to call me Lady DUFUS...you may!

Yes, there are many debt settlement companies that behave unprofessionally and disrepute the settlement industry. So, before going for a debt settlement company, check the points mentioned here.

I have signed up with them and as of right now I have not had anything settled, it's only been a couple of months but I am getting more and more calls from creditors and I am also getting phone calls from lawyers. When I signed up I was told that they would call for a month or two but I shouldn't worry about that, those calls would stop and they haven't stopped they have been escalated.
Also, what does your credit look like after all is said and done. We were told that our credit would be fine once it was over which I find somewhat suspicious but I am not sure what to make of it. Credit Card companies lie, the Collectors definiately lie. I don't really know what to do at this point. But if I need to pull out of PFS1 I'd like to do it now and cut my losses.

Considering all I've been through these past three years, not feeling like I accomplished much in this program, and with so much debt left unresolved at this late stage, I've decided to make an appointment for a consultation with a bankruptcy attorney to see if I qualify for Chapter 7. It's a late start for me, but I have nothing to lose, and maybe something to gain, like getting my peace of mind back again. Thanks for all the good advice I've read here...wish me luck.

I just signed up and now I'm scared. Not sure if i should cancel

I feel the same way you're feeling now, but at least it's still early in the game for you, whereas I put my trust in pfs1 for three years thinking I had no choice but to honor the terms of the program. You still have time to ask questions, and if you're not getting the answers you want...or not getting a response at all, which has often been the case for me, you need to act on that before you get in too deep. I'm in a position now where I have to seek help from an attorney simply because my remaining debt is too high for pfs1 to settle over the next ten months. I've added up all the money I've put into the program, meaning all of pfs1's fees and the settlements I've paid out, and it totals $13,000 already. I started the program with a $20,000 debt load and pfs1 touted their ability to reduce that by 50% or more. I'm creeping up to my original debt with no end in sight, so I'm desperate for some legal help. Good luck to you, because knowledge is power. Use it to protect yourself!

dont toss settlement under the bus. Frankly it was my life saver there are many companies out there that are scammers giving the settlement industry a very bad rap.

If you are cautious and ask the right questions and do the proper research this is a great tool. I knew what i was getting into before i started and new what to expect. This is why i believe there is a high drop out rate people dont know the facts.

No way would I even consider this company after dealing with Bethany. She hounded me from the begining and after I told her several times I am not interested she so rudely responded as if I was doing myself a dis-service by not giving her my info. I only checked out the website to see what they could do for a family member who is in debt. I, myself, am not in a bad spot right now and she would not take no for an answer. I don't even have any credit cards! She was very unprofessional and I will be contacting a supervisor about her behaviour.

I know 2 other people that are in this program and everyone as pulled out. We have all decided to cut our losses for a couple of reasons. a. the creditor calls never end regardless of what anyone says or what papers are sent or what laws they are supposedly breaking b. your credit is destroyed because they don't pay anything for you and creditors and lawyers just see you as being in deeper and deeper in debt they do not want to work with these people. c. they have no idea what they are doing after 7 months they still don't have my account numbers on file for the cards they are handling saying they only need my social security number? The whole thing is not what I signed up for.
I think that people are correct when they say that debt consolidators misinform people. I was told that calls would stop. I was told that there would be an easy way out of debt so I could get out from under it. I was e mailed and called non stop to sign up saying that they could help me but I had to take the first step. Once I did, suddenly my case was handled by someone else and the quick replys and fast answers were gone.
Use a debt consolidation or counseling company instead of a company that is going to cost you money and run your credit into the ground.
I feel foolish for falling for a line that I could be out of debt in 2 years. It would be nice but it's just not realistic without paying a hefty price. I would rather pay my creditors than to a third party that took advantage of my situation. Credit Couselors help you. You shouldn't join anything that has more than 25 dollars a month of a maitenence fee or service fee. I got NO service from these people.

guest, sorry about your experience but from what i just read from your own post, you were not very informed before you signed up with the settlement company. You didnt know what you were getting involved in.

And to say you can be out of debt in 2 years is unrealistic is not true, I was cc debt free in 2 years with my debt settlement company. Im sorry you had a bad experience and may have used a shady company but that is no reason to make others shy away from something that could be good for them.

obviously you did not do enough research on settlement before you signed the dotted line. or you would have seen through thier lies before you signed up and would have known they were not a good company.

KNOWLEDGE IS POWER KNOW THE FACTS BEFORE SIGNING THE DOTTED LINE.

I feel so stupid for not doing research before signing up this week with this company.
The first payment will take place on the 31st and I don't want to be in the program anymore.
Is there any tips you guys might have for me?

Nevermind. I found a cancellation form in the agreement packet for those still within their first 30 days.

I am in the process of leaving there program too due to getting sued by the banks. I wish everyone else luck. The only problem I had with their service is they never returned any telephone calls and I always on hold for 10 to 15 minutes each time I called.

Well, this is my last entry...I wanted you all to know that I succeeded in getting myself out of this nightmare by filing a long thought about Chapter 7. At my age, with only 5-6 years until retirement kicks in, it was my only shot at a second chance to start putting away some savings for my future. It will be the first time ever that I have had a real savings account that wasn't opened and closed within a month! And I can't tell you how it wonderful it feels to have this weight lifted from my shoulders. I had the first meeting with my attorney only 12 days ago, and yesterday he filed my petition! He noted that I was one of his few clients who accomplished their due diligence in record time to provide him with the document package needed to file (less than two weeks). Hey...I was desperate and ready to fly! I enjoyed the first good night's sleep in almost two years, and know I made the right decision. When I make that first meaningful deposit into a long term savings account, it will be a sweet day indeed. Whether you know it or not, many of your comments and suggestions are what led me to this day...so THANK YOU!

thanks for everyones info, i was checking into thier services preferred financail services), but after reading most of your nightmares , i will try other options.

Hope they told you all that the forgiven debt is usually taxable.

I just wanted to add something here. My program advisor was also Bethany and she did a wonderful job handling my accounts. She was professional and understanding of my situation and didn't pressure me to make a desicion which i appreaciated. She put a stop to my creditor calls and always responds ( within the same day!) to any questions or concerns that I have. I think it is very unfair to target her as a unprofessional person by saying that she "hounding you" YOU contact the company - not the other way around. Since I have enrolled they have settled multiple debts for a fraction of what I owed and they have helped me get back on track and I am appreciative that they provided me with my options. Simply following up with you isn't a reason to be nasty and post somthing like that that singles out one person. You should get your prorities straight like I did and I am so relieved that I made this decision. :shock:

We have been talking with PFS and considering signing up with them. My husband is ready to do it.

We have just over $27,000 in credit card debt that they claim they will be able to settle for at least 50% or even 35-40%. The 4 companies that we might try to settle with are "companies that we deal with and settle with on a daily basis." She's making it sound like they will all be settled within 4-5 months at the most.

Even though we've asked every question we could think of, I didn't realize a lot of the things that I read in this discussion. Thanks for sharing your experiences. We have not made a late payment yet, but we are getting to the drowning point in our debts, since our utilities just doubled and a bunch of small medical bills is turning into a big pile of medical bills we just can't pay. Debt settlement seems like a possible solution, but who can you trust?

The lady at PFS really sounds like she knows what she's doing, but now I'm not sure that she's really preparing us for what we will be getting into with the creditors coming after us. She says that we change our address and phone number to that of their company, and they take all the mail and phone calls.

They want to put us on the 36 month plan, paying $550.90 per month. As long as my husband's job holds out, we will barely be able to pay this amount. But if it can really pay off our debt in 3 years, then it would be worth the tight budget.

We are in Michigan.

Hey Valarie,

One thing that a lot of people don't understand is that it takes time for a settlement to go through. It won't happen over night. Like I said I went through them they settled my account and I'm debt free from a 17000 debt. They got it at 50% which was nice. It could have been more but I could not afford a higher monthly payment. Do research with companies and make sure you feel comfortable. Every settlement company will have a couple of people in here who are frustrated with them but you have to remember that most of them want there settlements done in a matter of a few months which is not possible.

Best of Luck.

i actually worked for preferred financail services . they are scammers btw i wasnt fired , I QUIT.. what they do for you, you can do for yourself .. they send out a sheet stated "power of atorney " but its irrelivant. all you have to do is when a creditor contacts you just ask them not to contact you any more by law they are suppose to stop. Now you have to negogiate (meaning offering settlements) . you start off by telling the creditor hey I got "so much money " ask them : can you offer me a settlement ?, a 50% or better for a settlement is GREAT! if they wont agree to work with you then just hang up on them , they will call you back usually at the end of the month creditors are willing to do offers , becuase its the close end of that month. Im telling you my advised is to deal w. your creditors yourself ....


PFS is doing nothing but taking your $40.00 and not doing a thing ..........Creditors stop calling becuase they forward your account to another creditor & then they start harrassing you ....hope this info helps someone out there just try to do it yourself before going their direction. if you can save money into your account when someone (PFS) asks you to then you have that WILL POWER to settle your accounts yourself........GOD BLESS & good luck ..

this company will lie, just call ext. 240 a man named clament and prepare yourself pretend to be dumb......they will lie.....i encourage the FTC to investigate. they dont come CLOSE to settleing half the accounts at the 50% they claim you will most likely be sued in 3-4 months if your not in collections the calls CANT stop they can olny ask collectors at 3rd party companys to stop. they will trick you they are profesional con artists you will lose all of your money they take your first to payment, $50 outta all your other payments and 25 percent of your savings so say you owe 100,000 you might see 20,000 in saving but at a debt amount liek thet youll be sued. they dont call when they say they will (to your creditors) in fact they dont contact them at all for the first several months. they lie. from what i can tell they are comminting serveral other crimes i care not to mention. they are NOT accredited members or usoba as they claim that is a lie they are not checked up on or policed.....buyer beware if you did get trapped with this company just threaten to complain to the attorney general - FTC - or BBB they will give you your money back they gave it alllllll back to me so take my advice and run

Crooks Wayne Ahlquist & Lamont Milton Preferred Financial
I was just recently let go from this company not to long ago because I was not enrolling enough prospective consumers. When I interviewed with this company I was told that I could make well over $50k per year if I enrolled customers into a debt settlement program.

First of all How can a consumer get out of debt if the first 2 payments that they make are kept by the company in this case (Preferred). On top of that they charge $49.95 a month. On a daily basis my manager would hound me to work my leads harder and get more people on the phone. At first I thought the program would work great for people in debt. But after 2 weeks of being there I began to realize how many people call the office wanting to leave the program becasue they are being going to court.

Preferred Financial will tell you that they can save consumers up to 70% when in reality after your doing paying 25% of the savings, the first 2 payments you make they keep and $49 a month you actually save 20% if that. You have to deal with your credit being effected for the long term.

The company was started by Wayne Ahlquist and Lamont Milton, both of these characters along with the Manager Keith are crooks. Wayne is convicted felon from Lynn, MA who has an extensive criminal record both as a juvenile and currently. He is only concerend with his pockets. Lamon Milton is the most egotistical person that I've ever met. He does not care about his customers nor does Mr. Ahlquist and in fact less than 5% of their clients ever finish the program.

I have company emails, files and pitch booklets of which I have already contacted the Attorney General of Massachusetts, Better Business Bureau, FBI & Federal Trade Commission.

In the state of Massachusetts you need to be an Attorney or Non for profit organization to practice debt management. They are not a lawfirm by any means and definately not a non profit. They are operating illegally. I am owed a unpaid salaries of which I have also reported to the Department of Labor.

I am now working back at the local law office that I left, I am glad to have a secure job where I am...I can definately sleep better at night knowing that I am not ripping people off. If you need help with your debt in Massachusetts contact DMF Finance in Beverly, MA they are also a law office too. My friend recently started working there and they have over 7000 clients and great coaching programs.

I hope this helps any past victims of fraud and any future victims of fraud. I suspect that Mr. Ahlquist and Mr. Milton will both be behind bars very very soon.

After having worked in a large settlement firm for quite awhile, I can tell you that eventually DeadBoy's testimony becomes all to familiar. Debt settlement can be done but is better done on your own. The industry is, in a word, heartless. Why would so many states ban them? (Reps from these agencies: no need to reply. I'm very familiar with the rhetoric).

The states aren't really *banning* them per se, just introducing necessary regulations. Some states have a stronger viewpoint against them (like Cuomo, the AG of New York who downright calls them all Scams), but that is due to that state having more people willing to file complaints in a legitimate manner. The biggest problem I see with the industry is that they shoehorn people into debt settlement, because DS is rather lucrative, and not only that, the bonus structure for employees is also better for DS. From offering a service to assist, they go to a high pressure sales pitch promising all kinds of feel-good results, when DS is actually one of the worst ways to deal with your debt (it's like Rocky punching the living daylights out of your credit report - you can survive, but it'll hurt like the dickens!) and should only be entered into by a small percentage of those in debt (namely those who are already way behind on their bills but are not insolvent). The industry is hanging itself by its dishonesty but I think it'll weather the storm whilst the dishonest companies are grounded or bashed up against the pier. They take advantage of the cultural loathing of bankruptcy and appeals to the honesty of the debtor (who want to be responsible) to pressure them into making a decision that may not be in their best interests.

Guest,
Thanks for sharing your experiences. It is undoubtedly difficult for an honest person to remain under such a salesman-like setting. It's not like you're selling trash bags or something, these services affect people's *lives*.

As far as a DS firm to go with, should you decide to take that route - it is always best to go with a law firm because they are the only ones that a collection agency *has* to work with, due to the FDCPA. The rest of them are strictly voluntary. But if you hire an attorney, the collector *must* cease contact with you and deal with your attorney. In some states the collector laws are the same for the original creditor.

But you can certainly do it yourself, just make sure you get any settlements or payment arrangements *in writing* before you pay a dime, and never give a collection agency your bank account info (no checks - money order, cashier's check, or prepaid debit card only). Check out the Federal Trade Commission's "Money Matters" page, especially the section "Dealing With Debt". Familiarize yourself with the FDCPA. Document everything - every call, every letter. If they violate the FDCPA, sue them and collect your $1000. Click on "Do It Yourself" above for some helpful pointers. Ask any specific questions on this forum, someone will be glad to assist you. We like seeing people become debt free!

Plus, you have to realize that many complaints against debt repair firms are due to the misunderstanding of the consumer - even the FTC states that much of the complaints against debt repair firms it receives are ultimately frivolous. If you got scammed or deceived, you really need to file a legitimate complaint. These companies record their calls and will need to review those calls for the BBB (for example) when a complaint is filed.

I have just begun this program with PFI and while they do collect the first two months for their fees; I have found them to respond quickly to my calls or mail. It will be a tough experience and have to rebuild my credit; but, I believe it is better than doing bankruptcy.

i wish there was a way to tell when employees of these debt settlement companies post on here as satisfied clients.

Where you all this concerned and worried about your situation when you were getting yourselves into debt??

I just signed up with this company yesterday. They have been very helpful so far but then again it has only been one day. Whether you are doing a BK or debt settlement, creditors will call you. I try not to take it personally, it is their job to do and say the things they do. I just ignore it and keep going. Just keep thinking positive!

Run do not walk from this company. They promise the moon and deliver worse results then you could negotiate for yourself, all the while charging a fee each month and a fee when they make a settlement.