Consumer Protection

Green Dot and Other Prepaid Debit Cards Investigated for Deceptive and Unfair Practices

Florida Attorney General Pam Bondi is investigating popular debit card issuers for possible deceptive and unfair business practices. Her office delivered subpoenas to Green Dot Corp., NetSpend Corp., First Data Corp., Account Now Inc. and Unirush Financial Services LLC, all issuers of prepaid debit cards. Continue reading

Frontier Financial Group and Ezell Williams Charged with Illegal Debt Collection

Judge James Stucky ordered two collection agencies to cease all debt collection efforts in West Virginia until they become licensed with the state. The action is against Frontier Financial Group, LLC and Ezell Williams. The companies must also stop collecting payday loans, which are outlawed in West Virginia. Continue reading

TRW Ventures Illegally Charged Advance Fees in Credit Repair Scam

Arkansas Attorney General Dustin McDaniel filed suit against several companies owned by president Thomas Randall Wells. The charges include allegations that the companies regularly promised customers that all of their negative information could be removed through their credit repair service. Customers were also charged advance fees of $700-800. Continue reading

Allied Interstate to Pay Oregon for Collection Law Violations

Oregon Attorney General John Kroger has reached an agreement with Allied Interstate which has them paying $90,000 to settle allegations of collection law violations. The action was in response to an investigation into approximately 200 complaints against the Minnesota-based debt collector over a 5 year period. Continue reading

JK Harris Overstated Benefits, Ordered to Pay Restitution in Texas

JK Harris failed to provide promised services. They overstated their ability to reduce taxpayers’ debts owed to the Internal Revenue Service. They accepted large prepaid fees from customers even though they knew or should have known that their tax liabilities would not be eligible for a reduction. Continue reading

Colorado Sues Western Sky Financial for Exceeding Permissible Interest Rates for Unlicensed Lenders

Colorado Attorney General John Suthers has taken action against a national payday lender that has violated Colorado lending laws. Western Sky Financial provides payday loans with interest rates approaching 300%, yet it failed to obtain the necessary license to provide loans to Colorado residents above the 12% statutory limit. Continue reading

Can Blue Tax Really Settle My Tax Debt?

Television commercials for BlueTax.com claim that they can rid you of burdomsome back taxes. They make amazing claims that they can eliminate penalties and reduce your tax debt. There is a problem with their approach: some of their claims cross the line of what is considered fair advertising. Continue reading

Smoke (Signals) and Mirrors: Western Sky Financial

The Solvency Shark saw a commercial recently for a loan company called “Western Sky Financial”.  I perked up when an American Indian claimed he could put $2,500 in my bank account overnight.  When he argued that his loans weren’t cheap but better than payday lenders, I had to investigate. Continue reading