Federal Debt Relief Program - Has it been helpful to consumers?

Cheree_ How did you end up with a warrant-in-debt? Did you not go to court when you were summoned?

who knows- when you got the judgment against you, did you receive a warrant-in-debt?

Chereennb - I believe you were truly in the program and I'm sorry to hear you wasted so much money. I've been in since January and in November - I felt pretty much the same way you felt. Not really sure why we didn't quit. Those people were awful with "client care." They really are much better now with communication. True - there is a high turnover of employees and it sounds like their employees can quickly get themselves "promoted." All I can say is that Tim and Eddy have been there for a while and they have been available to answer my questiions lately. I think you let the temporary circumstances and stress of court get the best of you. If you had stayed with it the phone calls would have stopped by December and you would know what I know now. I hope you're in a better place now.

PB&J - No

PB&J: I got a warrant-in-debt for a discover card account that was enrolled in the program. In the 8 months I was in the program, I could only verify that correspondence from FDRS was sent to Discover. I arranged to start paying the debt before my court date, but still had to go to court and got a judgment entered against me still. Furthermore, when I negotiated with the other collectors, I asked them if they received any correspondences disputing my debt and they said they did not - this was also apparent on my credit report, the only account that was ever entered as disputed on my credit report was discover and it was only the one time.

by the way, the last post to PB&J was from me... I didn't realize I wasn't signed in anymore

who knows: I'm not knocking what you believe or trying to raise ill feelings -you are entitled to your own opinion. I'm just saying, when it comes to me and I receive a warrant-in-debt in the mail, I don't take that lightly. Awful doesn't even begin to describe how they were with client care - I left urgent emails and voicemails for close to 2 weeks and got virtually no response (I believe they sent 1 email with 1 sentence in it). I realized I couldn't depend on someone else anymore to help me with my credit issues. When I called the collectors, I found out my other accounts were in arbitration. When you're in an unresponsive debt program and your credit accounts are going to court, something is wrong.

And they were in breach of contract, they failed to respond to my inquiries in a timely manner on several occasions and is a breach of contract, as written in section 1, sentence 4 of the debt relief Education Agreement: "FDRS will timely respond to all Client inquiries". - I sent them a breach of contract letter siting this. As soon as I get my credit issues strait, I plan on taking them to court.

I can attest to the fact that Piz is not Liz! I received an e-mail from her outside of this post and her name is not even close! I have thoroughly read the consumer protection acts and I see how FDRS is able to do this. Could I do it on my own, sure, but I wouldn't want to make any mistakes. I would rather pay someone who knows exactly what to do and when to do it. I talked to Eddie, and he told me there is only 4 people in Customer Care, which is the reason it takes so long to get in touch with someone. They have to answer all the calls, e-mail, etc. for client care. The reason you don't get assigned another counselor is because they don't know anything about your case, but client care does. One thing Eddie said to me that made sense was that if the credit card companies can't call you or try to collect, or report your delinquincies after you notified them of your dispute, what makes you think they can sue you for the same debt? That is a direct violation of the Federal Debt Collection Practices Act! If you don't belive me, look it up yourself...If the credit card companies don't follow the act to a "T" they can't collect ANY amount from you! Again, check it out for yourself! And just to preempt you from stating it...I also do not work for FDRS!!!

Chereennb- I too left urgent messages on their machine for about two weeks and sent multiple e-mails to them - with no response ( I'm glad you at least got an e-mail - I got NOTHING!)when I was in the same sinking boat you were in. I too thought about quitting multiple times a day. This is no excuse but as you know FDRS has high turnover of staff and looking back I think they may only have had one client care person on duty or staff - Tim - and he got in a serious car accident. Of course no one took the time to let you know this. And where was LIZ or the other guy people say was as manager as well? I was angry too and I still am( I have to get over this. Its over!) but I'm glad right now that I got through that and didn't quit. I am working with some awesome people in their legal department who ARE doing their job and treating me with the respect I deserve. Also - I'm not objecting to your post. I think it's good that we get to see different experiences - good and bad (I've had both). AND I hope to God FDRS people are reading this. There are strong messages on this site. Maybe they are and that's why they've made positive changes :) What type of results have you had with your attorneys? Did they get the credit card companies to give you credit for the insurance $$$ they claimed and got on your charged off debt? Did they get them to even admit that they benefited from your debt by collecting on insurance and later selling your debt to some other blood sucking predators? It would be nice to know.

Some information on the subject:

"When they do decide to write-off/charge-off the account, they take a very favorable tax credit, (based not only on the alleged transfers for the goods and services, but also the interest and fees accrued in the process) and are able to release the appearance of losses on FUTURE quarterly reports on the books by no longer showing an outstanding liability. On top of those incentives, they then sell the collection rights (Rights of Collection) to a third-party debt collector for PENNIES on the dollar. The real numbers would be about 10-20 cents on average."

Who Knows - I didn't get a credit when I settled the accounts. Unfortunately, I had to deal with the collectors and not the original creditors. However, I was able to get my lawyer to negotiate with the discover account to move to vacate the judgment against me upon final payment. I had 4 accounts enrolled in the FDRS program. I got out of the program in November and called all the collectors up myself and negotiated settlements. I just finished paying off 3 accounts at the end of February and only have this last Discover account to pay off - which will be paid in full by the end of May (thank god). However, I'm left with 3 charge offs on my credit report, but my lawyer said it's possible that I could negotiate with the original creditors and collectors to delete the negative tradelines they reported to the credit bureaus (I hope this is the case). At this point, I'm not terribly worried about getting a monetary credit - I only really want to clean up my credit report. It's been a long road, but I feel like I'm finally starting to see a light at the end of the tunnel.

To all who believe FDRS is not scamming people, there are even articles on THIS website warning against companies like FDRS - here's one: https://www.debtconsolidationcare.com/elimination.html

chereennb - I'm glad to hear you were able to work things out. I hope to say the same one day. Don't go too far - I may need some advice when this is all done for me. As I've said before - "who knows if they are for real or not" I'm not going to speculate or spend the rest of my life wondering the realities of this. I'm going to see this to the end - so, I'll let you know.

who knows:

Can you e-mail me? PIZ has my address.

People, get out before you give these parasites another penny! My attorney is in the process of shedding the light on these cockroaches....

Cheerennb - Don't you find it interesting that the link you put up is from someone in the debt consolidation business? They even ask you to contact them at the end of the post...I really don't know if FDRS is legitimate or not, but I certaintly won't believe their competitors when they say they aren't!

Keeping the Faith - I agree with you, but the links in the article are for this website that we are on right now "debt consolidation care". Membership is free for this website. And as you know, this is a community of people in debt as well as debt experts here to give advice to people about their debt and credit. So, I don't really think thats the case this time.

As a matter of fact, when I clicked the link it said this: Since you are logged in you can not use the signup form again. If you want to use the signup form for some one else who you know. Please logout and then use the signup form.

Fair enough...But it just seems like everyone who is calling FDRS a scam is either a competitor, or someone who panicked and didn't see it through...If you (or anyone) read the consumer protection laws thoroughly, you would understand that the creditors can't collect on anything that's in dispute until they verify that you actually owe it. You can still dispute it after that, but they have to report that you are still disputing it...So why would a court summons be valid if you never received a validation letter? They are violating the Fair Debt Collection Practices Act at that point...also, dealing with the collection agencies and negotiating anything is validating the debt on your part, so that would be a mistake...It's easy to panic, but do your own research first before you get out and tell everyone it's a scam...

This is for Anony Mouse who posted back in October... I hate to break it to you, babe, but FDRS DOES ask for your driver's license number and mother's maiden name. Check the application they faxed back to you when you signed up. It's right there in the top section of the form. I'm calling them tomorrow and backing out. They took my first payment a few days ago and I am demanding it back plus $120 to cover the first round of late fees. I cannot afford to loose $40 to scammers, let alone $400 or $4,000. I cannot even afford heat, for Christ sake!

Also, let me add that I will be doing this as a person who DOES believe in conspiracy theories. Those of you who laugh at them (even when the scientific proof is right in front of your face) are simply in denial. Why do the Rockerfellers, Rothchilds, Morgans, Bushes, and other criminal, robber-baron families rule the world today? It's because our grandparents and great grandparents let them get away with it, that's why. There was no public out cry demanding that they be prosecuted to the fullest extent of the law and that their monopolies broken up (In fact, some docile fools even admired them.) As a result, what are we left with today? Cars that still burn fossil fuels, a declining middle class, credit card debt (because we were raised middle class and don't know any other way to live) and scam "patriot" companies like FDRS who are just as dysfunctional as the conspirators. It's the same thing over and over... Why does evil flourish? Because people are either in denial or don't give a shit. It's that simple.

Couldn't agree with you more fjockey!

Keeping the faith: I know all this and if FDRS had actually been disputing my debts, I would have agreed with you on this. But, I could only verify one dispute, which they didn't follow up on. All other creditors & collectors received no disputes, nor were any ever reported. Furthermore, FDRS would not show me the so called "disputes" to at least validate anything they said. Those letters are NOT proprietary, not if they're being written under my identity.

The fact is, those were my debts. The same goes for anyone else in the program. It's a lie to say they weren't my debts... yes I was getting ripped off in interest rates, but all the charges were mine. I got caught up in everything they said to me, and maybe there is some truth to their program, but I believe the client's best interest is definitely last on their list, if on it at all. They talk a lot of game (and don't follow through) and in the end they just take a lot of your money.

You, go people...I am with you 100%...I owed those debts and was very foolish to think I could just have them "Disappear" I am going to do the right thing and negotiate my debts and pay them off as soon as possible. Care-One is an awsome debt negotiating company and I would highly recommend them to anyone that is in dispair....

If you think supporting the Constitution, supporting sound money, etc is all "anti-American", you're nothing but a fool.

Hey, I too was taken in by FDRS. I have yet to hear of anyone that has gotten their debt eliminated anywhere online. I called today and cancel due to an incident that happened yesterday. They did not protect me as promised.
Has anyone gotten their monies back from FDRS after they have canceled the program with them? If so, how were you able to get your monies back?
Thanks,
jnj86

ok,i looked into federal debt relief.it is a scam of the first magnitude.nobody lasts more than 8 months.that is most likely when your creditors will take action.then you'll find out about there organization.i wouldn't call them a company.

I believe that not too many people finish the program. It gets difficult at about 8 months. We as a society are used to "quick fix" Not going to happen with FDRS. They are not going to hold your hand and tell you its all going to be fine. They have their ways and they are not going to share it with you or me.

OH,AND WHEN YOUR SUED,AND WAGES ARE GARNISHED.THEN WHAT?WHEN FDRS IGNORES YOU THEN WHAT?LET ME KNOW WHEN COME UP WITH ANSWERS.

Paul, that's MY POINT EXACTLY!!! I don't get how people can just "wait it out"... Why would you ever want to "wait something out" that's as important as your credit?!? I got court papers and I was through with them! They're supposed to help you, not get your wages garnished and have judgments filed against you. That's part of the program??? Good luck in court... by yourself!

And the problem is, you don't know anything is wrong UNTIL you get court papers filed against you. By then your credit is in the toilet!

BTW, everyone. I got my money back 3 days ago. A full refund. I filed a report with the VA State Corporation Commission Bureau of Financial Institutions and in their investigation they found that FDRS is not even licensed to do business in my state. The VA SCCBFI (i'm going to abbreviate) requested proof from FDRS and they provided them with none and sent me a refund instead (hmm, i wonder why?). I bet they don't have a license to practice in a lot of states. Is that the kind of business you want to spend your money at? Is that the kind of business you want handling matters as delicate as your credit????!!!!

I just received court summons on Thursday...... Im extremely nervous but im going to stick it out and hope and pray that FDRS does what they say they are going to. Im spose to hear from the legal team anytime know. I'll let you know what happens and let you know how the legal team is. If they don't do as promised I'll let you know, but Im hoping to be the first person to say they have completed this program. I will keep everyone updated in the upcoming days. (fyi this is my 9 month right now)

i wish you the best mike.9 months is about the time when people get served while with them.keep us posted.

[quote=who knows]I believe that not too many people finish the program. It gets difficult at about 8 months. We as a society are used to "quick fix" Not going to happen with FDRS. They are not going to hold your hand and tell you its all going to be fine. They have their ways and they are not going to share it with you or me[/quote]

Folks, if they won't explain what they're doing with your money, do you really want to give your money to them? Think about it. There is no magic voodoo to make your debts go away. Anyone who tells you differently is selling something.

Mike - I'm in my 14th month. The legal department is great! When you hear from them, look them up on line. Great information on their site.

well who knows,seems your the only one that can reach them.my conclusion is you work for them.prove me wrong.

Shill alert!

I gave FDRS over $7,000 and I am still getting hounded by creditors, including letters from credit fraud divisions. Nothing FDRS have done seems to have worked. FDRS has only made matters worse. I am sure it is only a matter of time until I am sued. You might as well throw your cash in the dumpster!

Im getting ready to call their lawyer team now. They gave me all the information I need, I also must say that I have never had any kind of problem getting ahold of FDRS. When ever I have left messages they call me back within 24 hours, and most of the time they do answer after a short hold in the client care dept. Ill let you know what the lawyer team says.

Im getting ready to call their lawyer team now. They gave me all the information I need, I also must say that I have never had any kind of problem getting ahold of FDRS. When ever I have left messages they call me back within 24 hours, and most of the time they do answer after a short hold in the client care dept. Ill let you know what the lawyer team says.

Well their legal network sent me all the information I needed for the first phase by email right when I got off the phone with them. I signed the papers and took them and filed them with the local court. After this I contacted the legal network again and told them I completed the first phase and they immediatley sent me the next step in the process. So far so good, im just a little confused on the court date, but ill be calling them today to see what I need to do. I'll keep you informed.

Mike

I just talked with 2 people from the company. One was very nice and laid back and the other was very pushy to send in a payment of $1000 to get started. I checked the whois for the web address and it comes back to an address in Wyoming. They also couldnt provide me 1 of there 100+ attorneys names. Anyone deal with them and have good or bad stories?

Mr: are you asking if anyone's dealt with FDRS? If so, there are 10 pages worth of people's experiences right here.

Hey Mike... I will be VERY interested to know how the court stuff goes.???? Sounds like everything is going according to schedule for you.
I am in my third month right now.???? Letters go out next month.???? Let the games begin :)

Mr...

There are many opinions on FDRS, both good and bad.

I would suggest you do your own research independent of this board and FDRS client care. I took the time to do this and learned some VERY interesting stuff. Needless to say, I am still enrolled in the program.

I don't expect it to be an easy road. This program uses the legal system. For that reason, I do expect to go to court. FDRS told me that the attorney network ASSISTS you at the state level. This seems to be true based on "mike's" information above. I also have contact with a couple of others in the program and they also have had good luck with the attorney network.

Also, be extremely careful(I can't emphasize this enough) what you say to debt collectors. You can unwittingly enter into a contract to pay a debt you don't owe. Then you will get a judgement against you.

Review the Fair Debt Collection Act and the Fair Credit Reporting Act. Kind of boring reading, but vital to understanding the process.

The enrollment process is a little unnerving. If you are concerned about giving the information they request (I was) simply lock down your credit (I did) and nobody can open anything in your name (including you) without lifting the freeze. Although, I am guessing that since you are investigating the FDRS option, that you are done with credit cards anyway.

BTW, nobody has tried to open anything.

Finally, my experience with client care has been good. And, no, I don't work there.

I investigated debt settlement companies also. Almost went with one except... I didn't like their answers when I asked what they do if I get taken to court. Basically they told me they were not attorneys and I was on my own. :shock: Also, although you may get to pay a lesser amount in a settlement, it is still on your credit for seven years and can't be removed because you validated their claim.

Good luck whatever way you go!

If you have any questions I will do my best to answer them.

PB&J--Couldn't agree with you more.

Mike--How did it go with the legal dept.??

No - don't work for them. Wish I did- then I would know what the heck is going on with my accounts. 15 months and still in limbo. Not too happy about this but will see it through.

I have been contacted by FDRS but feel very skeptical about the methods being used. The person was very convincing. It would be nice to be debt free in 18 months but I need a solid guarantee. I am a business-professional and would not want to tarnish that with $44,000 in credit card debt. Can anyone speak up for FDRS reputation and success rate?

The legal team that I spoke with was awesome. I have talked to them several times in the last two weeks and they even recognize my voice and know who I am when I call. I can't be happier with everything so far. I just hope everything works our as they say it will. I must say that I feel more comfortable now than I have during my 9 months in the program. (one of my accounts is in the court system and the other is in arbitration :shock: ). The legal team and FDRS client care have been awesome in the last couple weeks. FDRS has def. changed the way they run the customer care, because someone always answers right away or calls back within an hour. I am extremly pleased about the way everything is going. I have allready sent in the second part of my legal papers to the court, so far very easy.... Hopefully it stays this way. I will keep everyone posted- I am still a little concerned about not being able to find others that have completed this program, but I am sticking with FDRS and hope to be able to keep giving you good news.

Mike - You sound just a little bit too positive. Be careful - you may be accused of working for FDRS. It is interesting that you have phone contact with the legal department. I've been with them for over 15 months now and no phone contact has been allowed. How did you do that? I do agree that the legal department is great! They are responsive.

I just got off the phone with FDRS. I find it interesting that they cannot or will not provide me with even a single name of one of the 112 law firms they claim to work with. They gave me excuses like "I'm not in that department so I don't have that information". When told them I was sure that someone in their company did, they told me it was to much info to send, after all info for 112 firms would waste all of their time to provide. i responded that I only needed a couple of names. They told me that after I join the program, THEN they could provide the information. When I said I wanted the names first so that I could do some research, they just launched into a sales pitch again.
Dunno for sure, but all my BS alarms are going off!
I would be very wary of FDRS!

Ok, an update. The FDRS rep I was talking to tried to call me back. He left a message on my voicemail saying that researching FDRS was a waste of my time. He said all I would find on the internet (which I never said I was doing internet research) was bad comments about them, and just like thousands of people drive cars and never get into an accident, all you ever see on the internet are the accidents.
I have to say that this response makes me feel more strongly that this is a bad company to be dealing with.