Federally Regulated Debt Relief, Debt Settlement or Debt Reduction Programs
In this post the CFRB addresses a somewhat controversial topic, the topic of the Federally Regulated Debt Relief Program also referred to as Federally Regulated Debt Settlement and or Federally regulated Debt Reduction Programs and the amendments to the telemarketing sales rule regarding Debt Relief, Debt Settlement or Debt Reduction companies brought by the Federal Trade Commission (FTC) effective in 2010 bringing needed regulation to this industry. Debt Relief, Debt Settlement or Debt Reduction programs that operate under this regulation AKA Federally Regulated Debt Relief Program or Federally Regulated Program must adhere to provisions that protect the consumer when entering into business arrangements or contracts with Debt Relief, Debt Settlement or Debt Reduction companies operating under the Federal Regulation of the FTC and provide Debt Relief services through the Federally Regulated Debt Relief Program or Federally Regulated Program for debt Relief. Although It may sound repetitive to continue to state Federally Regulated Debt Relief Program, Federally Regulated Debt Settlement or Federally regulated Debt Reduction Program but we do so since these terminologies are frequently interchanged by different Debt Relief, Debt Settlement or Debt Reduction Companies trying to create their own brand for the Federally Regulated Debt Relief Program or Federally Regulated Program. That being said we will continue this post using the terminology Federally Regulated Debt Relief Program or Federally Regulated Program.
We have chosen the Federally Regulated Debt Relief Program or Federally Regulated Program topic due to the overwhelming negative results of our investigations on several Debt Relief, Debt Settlement and Debt Reduction companies. This is not to say that all companies providing the Federally Regulated Debt Relief Program have received bad reviews from the CFRB, companies like Signature One Financial in there initial Signature One Financial Review received our highest 5 Star rating and have maintained this 5 Star rating through several Signature One Financial Reviews and they have received supporting comments and testimonials in their Signature One Financial Reviews from consumers that have conducted business with Signature One Financial. Signature One Financial provides there Signature One Financial Liberty Program AKA Signature One Financial Federally Regulated liberty Program or Federally Regulated Liberty Program for consumers who could qualify for their personal unsecured debt consolidation loan.
Customer Service Is a Key Factor in The Federally Regulated Debt Relief Program
How can so many companies offering this Federally Regulated Debt Relief Program get such bad reviews while other companies offering the Federally Regulated Program for Debt Relief, Debt Settlement or Debt Reduction receive raving 5 Star reviews?
The first and obvious answer is a commitment or lack thereof to the consumer to provide a valuable service with the highest level of excellence and the fact that prior to the Federally Regulated Program some companies provided exceptional customer service and results that matched or exceeded their promises to the consumer. So many people (business owners included) will take the easy way out of any situation. In dealing with Debt Relief, Debt Settlement or Debt Reduction you are dealing with consumers that may be feeling hopeless and like they have no other options. This could make them an easy mark for business owners who are inclined to taking the path of least resistance to make a fast buck. This same scenario creates an opportunity for excellence to stand out when offering the highest level of customer service to consumers in desperate need of a Debt Relief, Debt Settlement or Debt Reduction Program.
That being said let’s look at the changes brought forth by the FTC in the Federally Regulated Debt Relief Program and how this Federally Regulated Program benefits the consumer looking for Debt Relief. Looking at the changes the FTC’s Telemarketing Sales Rules Amendments for Debt Relief Companies brought we must keep in mind that the underlying commitment to provide service to the consumer with or without the federal regulation will determine the companies level of excellence and overall service to the consumer in Debt Relief or any industry.
Things to Know Regarding the Federally Regulated Debt Relief Program
No Upfront Fees
- The Debt Relief Company must complete the services promised including successful negotiation of new terms and agreements with the creditor that the consumer accepts and makes at least one payment to the creditor before the Debt Relief Company can be paid.
Dedicated Trust Account
- The Debt Relief Company may require consumers to set aside fees and savings for payment to creditors in a Dedicated Trust Account. Debt Relief Companies can only require a dedicated trust account when these 5 conditions are met.
- The dedicated trust account must be at an insured financial institution.
- The consumer is the sole beneficiary or owner of the funds including interest earned in the dedicated trust account.
- The consumer has full access to the funds at all times without penalty for withdrawal.
- The Debt Relief Company has no ownership interest or control in the financial institution.
- The Debt Relief Company cannot exchange any referral fees with the financial institution.
Disclosures and Prohibited Misrepresentations
- Debt Relief Companies must disclose their fees
- Debt Relief Companies must disclose how long it can take for consumers to see their results.
- Debt Relief Companies must disclose the potential for negative consequences to the consumer including how the debt relief program can affect their credit, calls to the consumer from the creditor and the closing of credit cards enrolled in the Federally Regulated Debt Relief Program.
- The Debt Relief Company is prohibited from stating performance rates that cannot be backed up by actual results
As always your comments are appreciated in this and all post and reviews on this web site
Staff Writer
Ok I enrolled in the Federally Regulated Debt Resolution Program through Signature One and I could not be happier. Last weekend I was at my cousins wedding and met an old friend who had enrolled in a Federally Regulated Debt Resolution Program through one of the other companies that offer debt relief services his experience was a nightmare, totally the opposite of what I experienced with Signature One . I had never been late on my payments a day in my life but I was carrying over $75,000 in credit card debt and the minimum payments were getting getting me nowhere. I applied for a personal unsecured loan through Signature One and due to my high credit card balances I was only approved for $20,000. My agent told me about the Signature Liberty Program a Federally Regulated Debt Resolution Program. He went into detail explaining how the program works and what I could expect if I enrolled. I was hesitant to enroll in the Federally Regulated Debt Resolution program but after looking at the cost of carrying the credit card debt I enrolled into their Signature Liberty Program. From the start Signature One Financial held my hand through the process and educated me on what to expect and how to get the most from the their Federally Regulated Debt Resolution Program. My experience was night and day in comparison to my friends experience. And I agree with the staff writer’s comments that customer service is The key factor for success when seeking debt relief.
I would recommend Signature One to anyone seeking debt consolidation through a personal debt consolidation loan or through a Federally Regulated Debt Resolution Program.
Davy G TX
The Federally regulated debt resolution program offered by Signature One works great! I don’t care what others have said about companies offering the Federally regulated debt resolution program all i know is that Signature One has taken care of me through all steps in this debt resolution program. Signature One customer service has exceeded every expectation and they are fulfilling there end of the deal to the T. I would recommend Signature One to anyone considering the Federally Regulated debt resolution Program as an option to reduce debt and get out from under their credit card debt.
Colon
How can you tell if the company you are talking with is offering the federally regulated debt relief program? I notice comments about Signature One on this post how is there service?
I am so glad that there is light of the end of the tunnel
Like so many folks, we kept accumulating debt to our credit cards and the payments were becoming more and more difficult. No matter what we tried Pay-off smallest account first, pay off highest interest rate first, etc., we still could not get ahead of the debt.
I had been researching our options for some time and then contact was made to Signature One Financial. I say that because I do not remember whether I made the initial contact or whether they did. I felt very comfortable in talking with their representative Chuvar Maestras who explained the Federally Regulated Program in detail. Chuvar was extremely professional in all of our discussions, and then he passed me off to Andrea
Favors. Andrea has been wonderful in all of our interactions, making sure I fully understand where we are and where we are headed while also reminding me that this is a journey and we must be patient. We signed up with Signature One Financial in early July 2015 and by early December we had our first agreement completed with the initial payment received by the bank holding that particular credit card. I would unhesitatingly recommend friends and family to this service if they needed debt relief help.
Phil, I recently enrolled with Signature One Financial, and am very skeptical and concerned as far as my credit being negatively affected in the beginning. What is your journey like at this point? How is progress? Have you been monitoring your credit report? Has your credit improved? What does the statuses show on each credit? I just want to make sure I have made the right decision. I need to know that others who are in the program are 100% happy that they made the decision to enroll their debt into the program. I can’t handle the phone calls from creditors. It affects my daily function. I’m just hoping I can cope with threatening phone calls and letters. I think during the process, while each account is being negotiated, I won’t have peace of mind. I’m worried. Please help me understand your process.
I have enrolled in this program through Signature One Financial with many doubts but so far, one out of my five credit card debts have been settled and the process was explained to me very thoroughly by my agent Chris Gaukler and everyone has been very understanding and patient. I’m hoping that everything will continue to go as smoothly as it has been and hopefully I will be debt free soon.
Hi Chris,
I just wanted to say thank you very much for working on my behalf in helping me try and get my life back, I feel so guilty letting my creditors down but as you have counseled me “life happens” I just feel so bad because I did this once in 2008 and promised myself I would not let this happen again but then “life happened” I lost my job, I got sick, and if I remember correctly it took about a year to get SSDI and what I didn’t tell you is my wife and I split in 1995 and I was basically alone looking for the right woman until 2009 when I thought I met her but instead she took me for over $14,000 promising me she would pay me back when she sold her home, nope didn’t happen she lived in Modesto so I didn’t see her every day and to my surprise her son told me she was see two other guys and doing the same thing to them so I just walked away from that mess.
I’ve been living month to month ever since then and it just takes everything out of you, and now with my back acting up and me hardly being able to walk I’ve finally hit the bottom and than our Heavenly Father through my prayers led me to you.., I almost didn’t attempt to try with your company because of my bad credit and being turned down but my intuition told me to just give it a try and low my attempt led me to a wonderfully nice man and I just want you to know how grateful I am for you working on my behalf.., you prayer left me in tears.
It is time for a new Season, it is time for my “Season”
I am in the process of signing up and I just wanted to know from current customers if by the end of the program your cards were closed or were they still open and active after the 48 month program?
Hey Samantha,
I am planning to enroll on the debt free program with signatureone and still thinking. Did you register with them and how is it going ?
Thanks,
Nick