Credit counseling services

[vunivasa]

What is the name of your state? Wisconsin.
Short and to the point. I asked a question on how to handle a possible income shortage due to loss of a job. I was advised to contact a credit counseling service. I went through the list provided by a government site and filled in the form and waited for a counselor to call. A company called Amstar called and said they had my information and wanted to talk about what could be done to help. I believed them as they said they got the information from the service I had registered with. They said there was a law in place that allowed a consumer to get the principle lowered and payments lowered on a mortgage if the home was less than the loan. I followed what I was told to do and ended up with a mortgage that was current on payments. Only to end up 7 months behind and having to try to save a home from foreclosure. Amstar got $3500 from us and in the contract, they have that if a settlement could not be arrived at they have a 100% refund guarantee and would return the money within 3 days. They even had a gentleman call me saying that I had to make another $1200 payment to them and all would be settled. They will not call, email or contact me in any way and because they have caller id they will not answer my calls. I proved this by calling from my work number which in Michigan and they answered on the first ring.
Scams like this are out there all over and no one is doing anything about it. Why can we sue for a hot cup of coffee but can not sue for a life of savings lost and the mental harassment from companies like this? To get this straight we now have to file bankruptcy. The last thing I wanted to to do in my life. To some, this is nothing but to me and my family this is a loss of all that I and my husband have worked for all our lives.
I am one of those that is lead to believe that to get justice one has to have a lot of money to spend on an attorney. Help from the law is only for the rich and the ones that are getting the shaft are the less fortunate. We work hard and long for what we have and it can be taken when we question the financial institutions of the great country that preys on the working person.
What can I do and is there anyone that will help?

 

[Ohiogal]

What is the name of your state? Wisconsin.
Short and to the point. I asked a question on how to handle a possible income shortage due to loss of a job. I was advised to contact a credit counseling service. I went through the list provided by a government site and filled in the form and waited for a counselor to call. A company called Amstar called and said they had my information and wanted to talk about what could be done to help. I believed them as they said they got the information from the service I had registered with. They said there was a law in place that allowed a consumer to get the principle lowered and payments lowered on a mortgage if the home was less than the loan. I followed what I was told to do and ended up with a mortgage that was current on payments. Only to end up 7 months behind and having to try to save a home from foreclosure. Amstar got $3500 from us and in the contract, they have that if a settlement could not be arrived at they have a 100% refund guarantee and would return the money within 3 days. They even had a gentleman call me saying that I had to make another $1200 payment to them and all would be settled. They will not call, email or contact me in any way and because they have caller id they will not answer my calls. I proved this by calling from my work number which in Michigan and they answered on the first ring.
Scams like this are out there all over and no one is doing anything about it. Why can we sue for a hot cup of coffee but can not sue for a life of savings lost and the mental harassment from companies like this? To get this straight we now have to file bankruptcy. The last thing I wanted to to do in my life. To some, this is nothing but to me and my family this is a loss of all that I and my husband have worked for all our lives.
I am one of those that is lead to believe that to get justice one has to have a lot of money to spend on an attorney. Help from the law is only for the rich and the ones that are getting the shaft are the less fortunate. We work hard and long for what we have and it can be taken when we question the financial institutions of the great country that preys on the working person.
What can I do and is there anyone that will help?

Did the money scam give you third degree burns all over your labia/testicles and require skin grafts? You are showing your ignorance with the bolded comment. Sue the bad people in small claims court. If you would have done research you would see that credit counseling is not a be all/end all. You could have worked with your creditors yourself.

 

[quincy]

It is important for all consumers to carefully research companies, and read and understand the terms of contracts, before signing anything.

I am not familiar with Amstar in Michigan but there are many "scammers" who will purposely form a business under a name similar to a legitimate company to confuse consumers into thinking the scam company is affiliated with the legitimate company.

If you have a problem with a company in Michigan and feel the company is operating outside the law, you can file a complaint with Michigan's Consumer Protection Division.

Here is a link to Michigan Attorney General Dana Nessel's website with information and a link to an online complaint form.
https://www.michigan.gov/ag/0,4534,7-359-81903_20942-252598--,00.html

Good luck.

 

[vunivasa]

Did the money scam give you third degree burns all over your labia/testicles and require skin grafts? You are showing your ignorance with the bolded comment. Sue the bad people in small claims court. If you would have done research you would see that credit counseling is not a be all/end all. You could have worked with your creditors yourself.

If you could be any nastier you are showing your colors as to what is important. You are saying that the loss of everything you have because one trusted is ok. Yes, I did my research and they were listed as legit. In this day and time, one can cover up the rotten with anything. Before you accuse me of not researching or not talking to my creditors know the facts. The creditors are only there to get their money back and it does not matter how. You must have never had to face hardship on a daily basis or ever. It is attitudes like yours that have corrupted the system as to what is important. Loss of a life of work that is not recoverable in time and told: "poor baby" or a comment that offended you.

 

[vunivasa]

It is important for all consumers to carefully research companies, and read and understand the terms of contracts, before signing anything.

I am not familiar with Amstar in Michigan but there are many "scammers" who will purposely form a business under a name similar to a legitimate company to confuse consumers into thinking the scam company is affiliated with the legitimate company.

If you have a problem with a company in Michigan and feel the company is operating outside the law, you can file a complaint with Michigan's Consumer Protection Division.

Here is a link to Michigan Attorney General Dana Nessel's website with information and a link to an online complaint form.
https://www.michigan.gov/ag/0,4534,7-359-81903_20942-252598--,00.html

Good luck.

Thank you.

 

[Ohiogal]

If you could be any nastier you are showing your colors as to what is important. You are saying that the loss of everything you have because one trusted is ok. Yes, I did my research and they were listed as legit. In this day and time, one can cover up the rotten with anything. Before you accuse me of not researching or not talking to my creditors know the facts. The creditors are only there to get their money back and it does not matter how. You must have never had to face hardship on a daily basis or ever. It is attitudes like yours that have corrupted the system as to what is important. Loss of a life of work that is not recoverable in time and told: "poor baby" or a comment that offended you.

I wasn’t nasty. You were ignorant with your comment about hot coffee. Nor did I say "poor baby". But hey continue on in your narrow little world. I didn't say they weren't legit. I said credit counselors are not the be all and end all. And they aren't.

 

[BuyLowSellHigh]

This is good information for anyone considering credit counseling. You are essentially paying them a fee to contact your creditors for you. Whenever you conduct business over the phone it is best to get their company name and contact information and then research to confirm that the company is legitimate in case you need to sue. Creditors may voluntarily work with you or them because they would rather receive a partial repayment then receive nothing if you file bankruptcy. However, you entered into a contract with your creditors and they don't have to make changes regardless of your personal situation.

There are resources that teach basics about budgeting as an alternative. Creating an emergency fund, paying down debt, reducing expenses, creating more income. I have personally found this information helpful.

 

[TigerD]

Creditors may voluntarily work with you or them because they would rather receive a partial repayment then receive nothing if you file bankruptcy.

Bullshit. Creditors see it as if you pay one of them, you could have paid us. And you can't threaten your creditor with bankruptcy. You don't owe enough for that to be a threat.

There are resources that teach basics about budgeting as an alternative. Creating an emergency fund, paying down debt, reducing expenses, creating more income. I have personally found this information helpful.

Yeah, Dave Ramsey's program isn't bad, but there are many areas in it that can be improved. But it is a good starting point. I'd refer people to "The Richest Man in Babylon", "Think and Grow Rich", for that matter, even "Rich Dad, Poor Dad" has some merit if you are smart enough to not take it literally.

TD

 

[quincy]

Thank you.

You're welcome.

The Michigan State University Extension Service offers free credit counseling, by the way.

 

[vunivasa]

I wasn’t nasty. You were ignorant with your comment about hot coffee. Nor did I say "poor baby". But hey continue on in your narrow little world. I didn't say they weren't legit. I said credit counselors are not the be all and end all. And they aren't.

I was not going to waste my time with someone that is so focused on one statement and not seeing it as a general example of how common sense if no longer used. I don't like to argue but when there is someone out there that is making small of the loss of everything when one is desperate and is hoping to just get some GUIDANCE, not a solve it for me, it really bothers me. I know I am not the only one in this country that fights the system daily. Maybe I should have stated my example as "why can we sue over things that are common sense, for example, Hot coffee, don't put it between your knees if it is in a paper cup. In a world that is obsessed with each word and punctuation mark, it is difficult not state anything without a dissertation on the meaning to what we are trying to say. I consider myself a very open-minded and intelligent person. I am an educator but do not claim to know it all and sometimes my students actually teach me.

I am sorry if you feel that I am ignorant for wanting to get guidance and rely on a professional. An attorney requires a retainer prior to accepting a case. If you were told there was a retainer would you not pay it? This is not a fee for services not yet provided. Read the facts. There a lot more to this story and for you to say what you did is just what I am harping about. Narrow-minded.

 

[Ohiogal]

I was not going to waste my time with someone that is so focused on one statement and not seeing it as a general example of how common sense if no longer used. I don't like to argue but when there is someone out there that is making small of the loss of everything when one is desperate and is hoping to just get some GUIDANCE, not a solve it for me, it really bothers me. I know I am not the only one in this country that fights the system daily. Maybe I should have stated my example as "why can we sue over things that are common sense, for example, Hot coffee, don't put it between your knees if it is in a paper cup. In a world that is obsessed with each word and punctuation mark, it is difficult not state anything without a dissertation on the meaning to what we are trying to say. I consider myself a very open-minded and intelligent person. I am an educator but do not claim to know it all and sometimes my students actually teach me.

I am sorry if you feel that I am ignorant for wanting to get guidance and rely on a professional. An attorney requires a retainer prior to accepting a case. If you were told there was a retainer would you not pay it? This is not a fee for services not yet provided. Read the facts. There a lot more to this story and for you to say what you did is just what I am harping about. Narrow-minded.

You are an idiot. Again, you don't comprehend the lawsuit behind the hot coffee. Your ignorance in that instance colors everything else and highlights your ignorance in your own situation. You are the narrow minded one. You are NOT educated. You are also not intelligent. Go hire counsel.

 

[Zigner]

I was not going to waste my time with someone that is so focused on one statement and not seeing it as a general example of how common sense if no longer used.

Common sense would be checking in to the matter before making yet another ignorant statement.