U.S. 'debt resettlement' firm draws Canadian warnings

[Ya Tzarone]

Source: CBC News

Canadian consumer groups are warning about Vortex Debt Group, a U.S. based debt resettlement company that is now operating in Canada, following numerous complaints from consumers who allege they were left with less money and more debt.

The Florida-based Vortex Debt Group currently has an F rating with the Better Business Bureau in the U.S. and has been banned from operating in the state of Missouri because of alleged deceptive and unfair trade practices.

The BBB has issued warnings in the U.S. based on 43 complaints that the company has allegedly taken consumers' personal information — including credit card and banking information — and used them to withdraw money without delivering debt services.

"I feel like a victim of a crime, like somebody's just come into my house and stolen things from my house from me, because basically that's what they've done," said Adrienne Saunders, of London, Ont., who signed up with Vortex in April after she saw a pop-up ad online and inquired about the company's services as she and her husband mulled his possible retirement.

Read more: http://www.cbc.ca/news/canada/story/2011/06/01/debt-resettlement-warnings.html

---

Regardless of country, one should always be suspicious of any financial "service."

[snagglepuss]

1. It's hard to feel sympathy for people who hand over personal banking

info in response to a pop-up ad. This falls in the same catagory as Nigerian email scams. They're lucky they didn't lose more than $450. Don't get me wrong the crooks should be banned from doing business in Canada but these people need to bear some responsibilty.


Welcome to DU. :hi:

[dipsydoodle]

2. Similar issues in the UK

Our FSA is about to take steps.

Debt consolidation scams : http://www.personal-loans-blog.co.uk/personal-loans/debt-consolidation-scams/

The moral appears to be never pay in advance for a promise.

[surrealAmerican]

3. This is why it's not enough to simply ...

... ban the company from operating in the state where the initial complaints happen. This really is fraud, and the human being(s) responsible need to be charged.