- Report: #112254
Complaint Review: Stellar Debt Solutions - Syossett New York
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Author Confirmed
Why?
Stellar Debt Solutions
PO Box 1053 Syosset, NY 11791 Syossett, 11791 New York, U.S.A.
Phone:
877-449-7329
Web:
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Stellar Debt Solutions Never applied payments to creditors and when I withdrew from the program after 2 months, they kept all the money I sent Syossett New York
After researching several Debt Negotiation companies I decided to go with Stellar Debt Solutions - Big Mistake!! I have paid to them appox $1000.00 that I fear I will not see again, and worse my credit is destroyed. The contract I signed with them indicated that I would be out of debt in 24 months and would have to make payments to them in the amount of $476.00 per month in order to achieve this. The only thing I am thankful for is that I did not allow them to do automatic withdrawals from my checking account every month which they really tried to push, or I would probably be out even more money.
Initially I worked with a person named Shawn Walker, he is probably paid on comission to lure people in. Anyway prior to me signing with them, he called me daily to see if I had questions, or whatever so at the time I thought - ok this company is really going to work with me. Well, Once I sent the first payment and signed contract in, I never heard from him again. When I did call him once he gave me a general customer service number to call when I had any questions. Well, whenever I called that number and was able to get through (which was only twice) the person I spoke to was less than helpful. I was very dissapointed with the service I was getting from Stellar Debt and concerned because creditors were calling me daily and my interest rates on my cards sky - rocketed, not to mention the over limit and late charge fees that were racking up.
I made a second payment to Stellar Debt and still no one ever contacted me to tell me that my account was being worked or whatever. I emailed them with questions and did not get a response and when I called their customer service number, I wasn't sure if anyone was even answering the phones there because I would just sit on hold.
I finally emailed them right around the time the 3rd payment was due and told them I wanted to discontinue the program and asked them for a refund. I got a snippy email response saying that I would only be refunded $140.00 and any other money to be refunded would be "discretionary". I of course, tried calling without any luck and responded to the email asking them what they have done with my account in the last 2 months that would justify charging me $816.00, since I had already sent in a total of $956.00. I never got a response on that email either, and I never got a check for even the $140.00 as they said would be my refund in the email.
The fees they were going to charge me for settling everything in 24 months was $1838.25, plus a $19.00/ month service fee so I cannot see how 2 months into the program would cost me $956.00 especially when I was told they did not even start to work with my creditors until I had the full amount of $1838.25 paid in full.
During this time, I also had recently moved to a new location and provided Stellar Debt with my new contact information, i.e addresses, phone numbers, etc. I only provided my address to my creditors since my phone number was unlisted and I was sick of all the calls from them when living in my prior location.
Anyway, it wasn't a week after I withdrew from the plan with Stellar Debt Solutions that all my creditors had my new telephone numbers. I cannot imagine how else they would have gotten this information. And this came after Stellar Debt assured me that they would never give any of my contact information to any creditor.
My credit is also now destroyed, I used to have a pretty good credit score, just a high debt to income ratio which is why I seeked help in the first place. I had never been late on a credit card payment until I went with Stellar Debt, but now it is completly sabotaged.
A word of advice to anyone considering Debt Negotiation is to consider doing it yourself, or working with a company that will allow you to manage your own funds.
Stellar Debt Solutions services are worthless and a complete scam in my opinion, I would like to know if I have any recourse with them, considering there is nothing in the contract I signed with them that I can see indicating if I withdraw from the program that they would get to keep all funds I have submitted to them.
Renee
Port Saint Lucie, Florida
U.S.A.
Initially I worked with a person named Shawn Walker, he is probably paid on comission to lure people in. Anyway prior to me signing with them, he called me daily to see if I had questions, or whatever so at the time I thought - ok this company is really going to work with me. Well, Once I sent the first payment and signed contract in, I never heard from him again. When I did call him once he gave me a general customer service number to call when I had any questions. Well, whenever I called that number and was able to get through (which was only twice) the person I spoke to was less than helpful. I was very dissapointed with the service I was getting from Stellar Debt and concerned because creditors were calling me daily and my interest rates on my cards sky - rocketed, not to mention the over limit and late charge fees that were racking up.
I made a second payment to Stellar Debt and still no one ever contacted me to tell me that my account was being worked or whatever. I emailed them with questions and did not get a response and when I called their customer service number, I wasn't sure if anyone was even answering the phones there because I would just sit on hold.
I finally emailed them right around the time the 3rd payment was due and told them I wanted to discontinue the program and asked them for a refund. I got a snippy email response saying that I would only be refunded $140.00 and any other money to be refunded would be "discretionary". I of course, tried calling without any luck and responded to the email asking them what they have done with my account in the last 2 months that would justify charging me $816.00, since I had already sent in a total of $956.00. I never got a response on that email either, and I never got a check for even the $140.00 as they said would be my refund in the email.
The fees they were going to charge me for settling everything in 24 months was $1838.25, plus a $19.00/ month service fee so I cannot see how 2 months into the program would cost me $956.00 especially when I was told they did not even start to work with my creditors until I had the full amount of $1838.25 paid in full.
During this time, I also had recently moved to a new location and provided Stellar Debt with my new contact information, i.e addresses, phone numbers, etc. I only provided my address to my creditors since my phone number was unlisted and I was sick of all the calls from them when living in my prior location.
Anyway, it wasn't a week after I withdrew from the plan with Stellar Debt Solutions that all my creditors had my new telephone numbers. I cannot imagine how else they would have gotten this information. And this came after Stellar Debt assured me that they would never give any of my contact information to any creditor.
My credit is also now destroyed, I used to have a pretty good credit score, just a high debt to income ratio which is why I seeked help in the first place. I had never been late on a credit card payment until I went with Stellar Debt, but now it is completly sabotaged.
A word of advice to anyone considering Debt Negotiation is to consider doing it yourself, or working with a company that will allow you to manage your own funds.
Stellar Debt Solutions services are worthless and a complete scam in my opinion, I would like to know if I have any recourse with them, considering there is nothing in the contract I signed with them that I can see indicating if I withdraw from the program that they would get to keep all funds I have submitted to them.
Renee
Port Saint Lucie, Florida
U.S.A.
1 Updates & Rebuttals
Elizabeth
Orlando,Florida,
U.S.A.
Response to Complaint
#2UPDATE Employee
Thu, October 28, 2004
To Whom It May Concern: This letter is to dispute a complaint made against Stellar Debt Solutions. Below we list several rebuttals to the complaints that were made against our company. First, the client made the complaint: once I sent the first payment and signed contract in I never heard back from them again. FALSE. We inform all of our clients that they will receive a Welcome Packet 7-10 days after starting the program. This packet outlines and explains exactly what our company does and how we proceed with the debt settlement program. In addition this packet contains important information on how the client should proceed with regards to handling calls from creditors and also contains contact information should they or the creditor need to reach our customer service department. This packet was sent out to the client within the 7-10 days specified above. Second, she complained that the creditors were continuing to call her. EXPLANATION: The program was explained in detail to the client prior to her enrollment. Debt Settlement is a process that generally takes between one and three years to complete, depending on the clients total debt amount. During this process we make every effort to stop the harassing phone calls made by creditors. Upon enrollment we immediately send cease and desist letters out, which legally prohibit the creditors from contacting the client. All clients are advised that calls may continue from their creditors during the first 60-90 days of the program, this is completely normal and should be expected, but these calls will eventually stop. All that is required is patience. This client was only on the program for two months when she decided to cancel, which was still within the 60-90 day grace period mentioned above. Had she given the program enough time, these phone calls would have stopped. Third, the client complained that she was unable to get in contact with our company once she joined. EXPLANATION: Once on the program all clients have the ability and are advised to contact our customer service department with any questions or concerns they may have. This department is open Monday Friday from 9am to 6pm. In the event that they are unable to reach our customer service department, clients are always able to contact the original credit counselor or email customer service through our website. Fourth, the client complained that when she requested a refund she was informed that it would not be the full amount paid. In addition she also stated that the refund amount promised was never sent. EXPLANATION: All of our clients are required to sign a client agreement prior to sending any money to our company. This agreement clearly states that all client service fees are non-refundable if the client terminates the program. This client was offered and did receive a full refund minus the non-refundable service fees. All refunds are sent signature guaranteed which verified that the payment was in fact received. Fifth, she stated that she did not understand the reason that such a large sum was taken so early in the program for fees. EXPLANATION: The price of our service is not a flat monthly fee rather it is a percentage of the amount of debt the client owes. Regardless of the length of time the client is on the program those fees will be kept. These fees are used to cover our company's operating expenses, and although the client was only on our program for 2 months, one must realize that the majority of expenses are incurred during the enrollment process. Last, the client stated that her participation with the program impaired her credit. EXPLANATION: It clearly states in our client agreement section 3B: The participation in the debt settlement program and performance of the service in MANY instances will have an ADVERSE effect on clients credit rating. Clients credit rating was or will be impaired due to one or more if the following reasons: financial change, hardship, over extended debt and related issues. Stellar is not responsible for the actions of any creditor in response to settlement efforts. Stellar makes every effort to ensure that our clients are aware of how our program works prior to joining. As mentioned previously all clients are required to sign a client agreement, which clearly states how are program works, fees associated with the program, refund policies, and how the program may affect their credit rating. It is unfortunate that this client did not read and/or clearly understand the client agreement, and we apologize for any misconceptions or miscommunications that may have led this client to become upset or unsatisfied with our program. Debt Settlement is a process that requires both time and patience. The benefits that debt settlement offers will not be seen over night Stellar Debt Solutions has had great success for those that have completed our program, saving them time, money, and effort.
