Solutions aka Consumer Credit Counseling & others like them are decptive consumer fraud ripoffs; they do not work and damage your credit. Beaverton, Oregon
My husband had a work injury and company sell out to Mexico which reduced his time and wages. We knew our income while he was recovering would not make the monthly bills. We called and wrote our creditors and stopped using all cards. We then hunted for the right place to seek help and located Solutions which is a new name for Consumer Credit Counseling. We informed the case worker we did not intend to have any damages to our credit and wished to maintain our payments until my husband was back with full pay. We wanted to buy a home soon and we also let him know this too.
At no time were we told that handing this to them would destroy our credit and future hope of getting a home. In fact, we were encouraged to participate and that the creditors highly respected our diligence and working with Solutions could even help us get a home within a year. We could also secure a loan to consolidate this in six months with continual payments. We were not behind when we brought this to them.
Within months of paying them on time and often ahead of time we had creditors calling our home wanting to know why we did not pay our bill. We assured them that we had done everything we were asked and that we would call Solutions to find out what was wrong. Each time I would get the run around and answers that made no sense. We even came in twice to see this counselor which was an hours drive for us and he was never there. Finally we got a notice that the Airport Way office had taken this case there and this continued to be a problem.
I sent two certified letters asking them to explain why they were failing to properly handle this case. Instead I got letters back asking us what we were going to do about continuing with them. I had informed them that due to their misconduct I had to write and call all of our creditors and tell them what Soltutions/ CCC was doing and that we would just simply find a way to handle this without them.
I wrote more letters and called all of them. I paid off all of our bills/credit debt. We even went to the head of Solutions in Airport Way and all we could get out of them was how sorry they were about all of this and that the caseworker was no longer working for them. No letters or calls to the creditors was offered and we had interest fees and late fees attached to my pay offs. I felt they needed to do something to clear this matter with our creditors even if they needed a little egg on their face. I thought they were working for us ?
We have not entered the zone of Credit Repair. I can not tell you the number of people with repair that said going to these people was the wrong thing to do and they could not help as repair our credit even though all debts were paid. To think that not even one year had passed between my husbands injury and good credit and total destruction of our credit and no chance of having a home because we used a credit counseling service despite the fact we paid off all of our debt. How do we ever get a home now and will we be damaged and punished for the rest of our lives became of a few months of a mans injury who still paid his bills ? This is just appauling..What about all the other people in debt now do they loss everything too ?
I feel the public needs to aware of all of these consumer credit counseling places and I believe this Solutions needed to compensate us in some manner. This was also presented on a local Oregon channel for the Oregon State Bar consumer education by two Oregon Attorneys of how CCC is the best way to go..no mention even from them of the damage they will do. You may as well sit and go to collections. Now we are even being told we shouldn't have paid off these debts as it hurt us even more on our credit report. going to the CCC added some 10 points to our score. We just can not win.
If anyone would like to form a research group to investigate all of these places let me know. Perhaps you all should check the web for the National Foundation For Credit Counselors Leaders Conference in Seattle, WA Sept. 11-13 for $300 a person and a say at the Sheraton for $189 per night..add air fare food and other expenses on NON-Profit and ask yourself were they got all of this money ? You can call and ask them questions like, "What about the consumers damaged by all of this ?" Does your conference have room for poor consumers ?
For more information on their expensive conference a new way to bring in the bucks while calling yourself a non-profit consumer helper is 1-301-589-5600 ext. 18 Pam Carter or e-mail questions to: pcarter@nfcc.org I would like to see what NFCC 2002 will do for us poor slob consumers with credit damage from getting help. It's like jumping through the fire..lay offs, International sell outs, roping in consumers who are hurting even for basic needs to be met, then offering Consumer Credit Counseling million dollar businesses and then jump to the Credit Repair business after that..what a racket.
If they can afford a 3 day trip like this to gather together then where do the consumers and their taxes fit in to all of this ? Whose money are they spending and who are they really working for ? Not you and I. They can't make money like that !
Elizabeth
St. Helens, Oregon
Click here to read other Rip Off Reports on Consumer Credit Counseling
9 Updates & Rebuttals
Gene
Granada Hills,California,
U.S.A.
What is the benefit of going through Consumer Credit Counseling as opposed to filing BK. They both damage your credit the exact same way.
#10Consumer Suggestion
Fri, May 13, 2005
But when you file Bankruptcy, it's over and done with in months, not years, and then you can start rebuilding your credit. If you go through CCCS...you're gonna have you credit dragged through the mud for years...and after it all..then have to start rebuilding. The whole idea of it is ridiculous. CCCS is basically just a Bankruptcy filed through the public sector, which costs many time more to go through, and takes years longer to get out of.
Am I wrong?
Nicole
Dothan,Alabama,
U.S.A.
The real facts about Consumer Credit Counseling...member of the BBB...do not charge the consumer any fees but this does not mean that we work for free.
#10UPDATE Employee
Mon, July 26, 2004
Hello Everyone! I am the Branch Manager of Consumer Credit Counseling Services in Alabama. I am here today to let everyone know how I handle business here. I am a credit counselor as well as a housing counselor(handling default and prepurchase housing counseling).
We are a true nonprofit company which means we do not charge the consumer any fees but this does not mean that we work for free. If that were the case I would be working 40 hours a week with no pay and who is going to do that? Any donations to the company are clearly explained in the agreement that the consumer signs before entering any program with our company.
These "donations" are used primarily to send payments where they need to go as well as a monthly statement to the consumer, paper, stamps, etc... We are mainly funded by your creditors whom I should add jointly started these types of businesses. I will add at this point for all consumers to be aware of fraudulant credit counseling companies because they are rampant. My company is a member of the BBB(Better Business Bureau) and the NFCC (National Foundation For Consumer Creit). This means that we have certain guidelines that we must follow to stay certified. The requirements for someone to enter a dmp (debt management program) are as follows: Client must be behind on credit cards, Client must be receiving late fees and/or over the limit fees. If all of this is true clients will also be receiving high interest rates. At this point in the game the client's credit is all ready damaged due to slow payment. Now I am not saying that going into a dmp is not going to damage a clients credit. It will damage your credit due to the fact that lenders will see that the account is being "managed by a credit counseling company". The agreement also points this fact out in very simple terms. I also stress this fact during our first of many face to face appointments. The first 3 months of a dmp is the negotiation process. We contact creditors to negotiate a payment. Ultimately the final decision is up to the creditor as to whether or not the program will be accepted. If any account is filed on your credit report as late or slow pay or is turned over to a collection agency, it is because your original creditor reported it as such. Also, if your creditors do not lower interest rates according to specifications it is also due to your creditors not responding. We do not receive client's statements from creditors. This is why it is so important for clients to monitor their accounts while in a dmp. A debt management program is a joint effort for the client, creditor, and the credit counseling company, not a way of avoiding the accounts because " consumer credit is taking care of it". If all of this is understood and handled during your stay with Consumer Credit Counseling, you will enjoy your visit. I have many clients who are very satisfied and call me daily to thank me for helping them. A debt management program is not for everyone and is only supposed to be used as an alternative to bankruptcy when a client has no other option. I have clients that I see monthly as part of a budgeting class to help them pay off debt on their own. Please accept my sympathy for anyone who has been taken advantage of by any company representing Consumer Credit Counseling. By the way I have never heard of Solutions and if you ask me they were trying to mislead you into belieiving they were part of CCCS. I would like to say that not all credit counseling companies are bad and personally I would not work for a company that hurts people. We are truly here to help whether a client choses to go into a dmp or not. The best advice I can leave you with is, read everything twice before you sign. Thank you for your time.
Nicole
Dothan,Alabama,
U.S.A.
The real facts about Consumer Credit Counseling...member of the BBB...do not charge the consumer any fees but this does not mean that we work for free.
#10UPDATE Employee
Mon, July 26, 2004
Hello Everyone! I am the Branch Manager of Consumer Credit Counseling Services in Alabama. I am here today to let everyone know how I handle business here. I am a credit counselor as well as a housing counselor(handling default and prepurchase housing counseling).
We are a true nonprofit company which means we do not charge the consumer any fees but this does not mean that we work for free. If that were the case I would be working 40 hours a week with no pay and who is going to do that? Any donations to the company are clearly explained in the agreement that the consumer signs before entering any program with our company.
These "donations" are used primarily to send payments where they need to go as well as a monthly statement to the consumer, paper, stamps, etc... We are mainly funded by your creditors whom I should add jointly started these types of businesses. I will add at this point for all consumers to be aware of fraudulant credit counseling companies because they are rampant. My company is a member of the BBB(Better Business Bureau) and the NFCC (National Foundation For Consumer Creit). This means that we have certain guidelines that we must follow to stay certified. The requirements for someone to enter a dmp (debt management program) are as follows: Client must be behind on credit cards, Client must be receiving late fees and/or over the limit fees. If all of this is true clients will also be receiving high interest rates. At this point in the game the client's credit is all ready damaged due to slow payment. Now I am not saying that going into a dmp is not going to damage a clients credit. It will damage your credit due to the fact that lenders will see that the account is being "managed by a credit counseling company". The agreement also points this fact out in very simple terms. I also stress this fact during our first of many face to face appointments. The first 3 months of a dmp is the negotiation process. We contact creditors to negotiate a payment. Ultimately the final decision is up to the creditor as to whether or not the program will be accepted. If any account is filed on your credit report as late or slow pay or is turned over to a collection agency, it is because your original creditor reported it as such. Also, if your creditors do not lower interest rates according to specifications it is also due to your creditors not responding. We do not receive client's statements from creditors. This is why it is so important for clients to monitor their accounts while in a dmp. A debt management program is a joint effort for the client, creditor, and the credit counseling company, not a way of avoiding the accounts because " consumer credit is taking care of it". If all of this is understood and handled during your stay with Consumer Credit Counseling, you will enjoy your visit. I have many clients who are very satisfied and call me daily to thank me for helping them. A debt management program is not for everyone and is only supposed to be used as an alternative to bankruptcy when a client has no other option. I have clients that I see monthly as part of a budgeting class to help them pay off debt on their own. Please accept my sympathy for anyone who has been taken advantage of by any company representing Consumer Credit Counseling. By the way I have never heard of Solutions and if you ask me they were trying to mislead you into belieiving they were part of CCCS. I would like to say that not all credit counseling companies are bad and personally I would not work for a company that hurts people. We are truly here to help whether a client choses to go into a dmp or not. The best advice I can leave you with is, read everything twice before you sign. Thank you for your time.
Nicole
Dothan,Alabama,
U.S.A.
The real facts about Consumer Credit Counseling...member of the BBB...do not charge the consumer any fees but this does not mean that we work for free.
#10UPDATE Employee
Mon, July 26, 2004
Hello Everyone! I am the Branch Manager of Consumer Credit Counseling Services in Alabama. I am here today to let everyone know how I handle business here. I am a credit counselor as well as a housing counselor(handling default and prepurchase housing counseling).
We are a true nonprofit company which means we do not charge the consumer any fees but this does not mean that we work for free. If that were the case I would be working 40 hours a week with no pay and who is going to do that? Any donations to the company are clearly explained in the agreement that the consumer signs before entering any program with our company.
These "donations" are used primarily to send payments where they need to go as well as a monthly statement to the consumer, paper, stamps, etc... We are mainly funded by your creditors whom I should add jointly started these types of businesses. I will add at this point for all consumers to be aware of fraudulant credit counseling companies because they are rampant. My company is a member of the BBB(Better Business Bureau) and the NFCC (National Foundation For Consumer Creit). This means that we have certain guidelines that we must follow to stay certified. The requirements for someone to enter a dmp (debt management program) are as follows: Client must be behind on credit cards, Client must be receiving late fees and/or over the limit fees. If all of this is true clients will also be receiving high interest rates. At this point in the game the client's credit is all ready damaged due to slow payment. Now I am not saying that going into a dmp is not going to damage a clients credit. It will damage your credit due to the fact that lenders will see that the account is being "managed by a credit counseling company". The agreement also points this fact out in very simple terms. I also stress this fact during our first of many face to face appointments. The first 3 months of a dmp is the negotiation process. We contact creditors to negotiate a payment. Ultimately the final decision is up to the creditor as to whether or not the program will be accepted. If any account is filed on your credit report as late or slow pay or is turned over to a collection agency, it is because your original creditor reported it as such. Also, if your creditors do not lower interest rates according to specifications it is also due to your creditors not responding. We do not receive client's statements from creditors. This is why it is so important for clients to monitor their accounts while in a dmp. A debt management program is a joint effort for the client, creditor, and the credit counseling company, not a way of avoiding the accounts because " consumer credit is taking care of it". If all of this is understood and handled during your stay with Consumer Credit Counseling, you will enjoy your visit. I have many clients who are very satisfied and call me daily to thank me for helping them. A debt management program is not for everyone and is only supposed to be used as an alternative to bankruptcy when a client has no other option. I have clients that I see monthly as part of a budgeting class to help them pay off debt on their own. Please accept my sympathy for anyone who has been taken advantage of by any company representing Consumer Credit Counseling. By the way I have never heard of Solutions and if you ask me they were trying to mislead you into belieiving they were part of CCCS. I would like to say that not all credit counseling companies are bad and personally I would not work for a company that hurts people. We are truly here to help whether a client choses to go into a dmp or not. The best advice I can leave you with is, read everything twice before you sign. Thank you for your time.
Nicole
Dothan,Alabama,
U.S.A.
The real facts about Consumer Credit Counseling...member of the BBB...do not charge the consumer any fees but this does not mean that we work for free.
#10UPDATE Employee
Mon, July 26, 2004
Hello Everyone! I am the Branch Manager of Consumer Credit Counseling Services in Alabama. I am here today to let everyone know how I handle business here. I am a credit counselor as well as a housing counselor(handling default and prepurchase housing counseling).
We are a true nonprofit company which means we do not charge the consumer any fees but this does not mean that we work for free. If that were the case I would be working 40 hours a week with no pay and who is going to do that? Any donations to the company are clearly explained in the agreement that the consumer signs before entering any program with our company.
These "donations" are used primarily to send payments where they need to go as well as a monthly statement to the consumer, paper, stamps, etc... We are mainly funded by your creditors whom I should add jointly started these types of businesses. I will add at this point for all consumers to be aware of fraudulant credit counseling companies because they are rampant. My company is a member of the BBB(Better Business Bureau) and the NFCC (National Foundation For Consumer Creit). This means that we have certain guidelines that we must follow to stay certified. The requirements for someone to enter a dmp (debt management program) are as follows: Client must be behind on credit cards, Client must be receiving late fees and/or over the limit fees. If all of this is true clients will also be receiving high interest rates. At this point in the game the client's credit is all ready damaged due to slow payment. Now I am not saying that going into a dmp is not going to damage a clients credit. It will damage your credit due to the fact that lenders will see that the account is being "managed by a credit counseling company". The agreement also points this fact out in very simple terms. I also stress this fact during our first of many face to face appointments. The first 3 months of a dmp is the negotiation process. We contact creditors to negotiate a payment. Ultimately the final decision is up to the creditor as to whether or not the program will be accepted. If any account is filed on your credit report as late or slow pay or is turned over to a collection agency, it is because your original creditor reported it as such. Also, if your creditors do not lower interest rates according to specifications it is also due to your creditors not responding. We do not receive client's statements from creditors. This is why it is so important for clients to monitor their accounts while in a dmp. A debt management program is a joint effort for the client, creditor, and the credit counseling company, not a way of avoiding the accounts because " consumer credit is taking care of it". If all of this is understood and handled during your stay with Consumer Credit Counseling, you will enjoy your visit. I have many clients who are very satisfied and call me daily to thank me for helping them. A debt management program is not for everyone and is only supposed to be used as an alternative to bankruptcy when a client has no other option. I have clients that I see monthly as part of a budgeting class to help them pay off debt on their own. Please accept my sympathy for anyone who has been taken advantage of by any company representing Consumer Credit Counseling. By the way I have never heard of Solutions and if you ask me they were trying to mislead you into belieiving they were part of CCCS. I would like to say that not all credit counseling companies are bad and personally I would not work for a company that hurts people. We are truly here to help whether a client choses to go into a dmp or not. The best advice I can leave you with is, read everything twice before you sign. Thank you for your time.
Sahron
Houston,Texas,
U.S.A.
Response to Elizabeth about Credit Counseling
#10Consumer Suggestion
Sat, May 15, 2004
Elizabeth, I am glad you and I agree on these so called programs.
So sorry, but to communicate we have to use the rebuttal box on this site so everyone can be informed. I will say that these credit counseling companies are supposed to be regulated by The National Foundation for Consumer Credit. They are nothing more than a racket!!!!
The best of luck to you and your family!
p.s. Don't ever feel paying off your debts is a bad thing. Always remember that, don't allow predatory practices from creditors discourage you. Learn as much as you can about the Fair Credit Reporting Act.
Elizabeth
St. Helens,Oregon,
U.S.A.
Thank You Sahron, from Texas
#10Author of original report
Fri, May 14, 2004
Thanks for writing and being validation to what I wrote more then a year ago on the rip-off report.
We are still fighting on these issues of clearing this on the credit reports. What a waste of time including actually paying off all of our bills in full after using them and this did not even do anything better for us.
American Express was actually "upset" we paid in full saying, "But why do you want to pay this off ? I believe with so many good people out of jobs and work now or injuries like my husband had to stop the flow of income for sometime this "bureau reporting must be challenged" who are they kidding making people sound irresponsible by a point system or rising our car insurance rates based on credit scores.......the whole matter is wrong and there needs to be serious changes. If you would like please email me so we can communicate.
Thanks again,
Sahron
Houston,Texas,
U.S.A.
Their success rate was slim to none, they deceived their employees and clients on the program
#10Consumer Suggestion
Fri, May 14, 2004
I was reading your complaint and couldn't agree with you more. I worked for Consumer Credit Counseling for 18 months and quit. Their success rate was slim to none, they deceived their employees and clients on the program, they used to be free, but now they aren't.
Once I saw the deceptive practices they used, I was not going to continuing working for such an outrageous employer. The program is not for people with good credit or anyone else for that matter. Management would get mad at me, because I would sincerely try to help people. We also had classes on how to deceive the customer, (which I refused to do)!!!
Paying money for credit repairs, credit clinics and such, is a total waste of time. Most creditors offer hardship programs, but they won't volunteer to tell you unless you persist.
Anon
San Diego,California,
U.S.A.
There is no such thing as credit repair.
#10Consumer Comment
Wed, May 12, 2004
Nothing on your credit report that is true and accurate can be legally removed. Don't pay anyone who claims to repair credit. If your report shows incorrect information you can dispute the entry yourself for the price of a stamp, envelope and a little time. Purchase your credit report from either the agencies themselves or a reseller that provides a dispute form. Not all resellers have the dispute form. You can also place a 100 word statement on your credit report explaining why your report was "destroyed".