American Debt Relief Coalition ratings, reviews and complaints - Credit Counseling and Management Services Non-Profit

Complaints and Resolutions

Complaint Experience

N/A

Complaint Resolution Index (CRI)

Complaint Resolution Index (CRI) Explained The Complaint Resolution Index (CRI) is an indicator on how responsive a company is in addressing and resolving customer complaints brought to their attention by BCA. If they are considering doing business with the company, consumers can use this indicator to forecast the likelihood of having their issues addressed if a problem arises. CRI measures the company's customer satisfaction abilities through BCA’s complaint mediation process.

A variety of factors are considered when calculating CRI. This includes how quickly a company responds to complaints, the number of complaints against a company, whether the company addressed complaint allegations, and the outcome of the complaints. CRI is just a subset of the overall rating for the company. Consumers are encouraged to take into consideration the company's CRI, their overall BCA letter rating and other relevant information about the company so they can make a well-informed purchasing decision.

BCA's Summary and Analysis:

We have received complaints against this company and in at least some cases, the complaint allegations are very serious. Complainants allege the company fails to cancel services as requested, debits funds without authorization or after services are cancelled, difficulties canceling services, and various customer service issues. Other complaints allege the company fails to disclose full requirements for service, verbal representations contradict written documentation, and misrepresentations regarding the negative effect of debt consolidation on the client's credit. One customer alleges the company frequently makes unsolicited calls although the customer is listed on the Do Not Call Registry.

The company responds in one case by removing the customer's information from their records and placing them on their do not call list. In another case the company indicated the customer is aware that initial payments are a deposit that is forfeited if services are cancelled before the end of the agreement. The customer disputed this response stating they were unaware that the company would debit funds immediately from their account prior to obtaining written documentation confirming the services. The customer further contends that the documents were never signed and they never utilized the company's services.

Our complaint services are free and our team of expert mediators will assist in resolving complaints with businesses.

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Complaint Closing Statistics

0 complaints against American Debt Relief Coalition closed in last 3 years.

Complaints	Type of response
0	Making a full refund, as the consumer requested
0	Making a partial refund
0	Agreed to make an adjustment
0	Refusing to make an adjustment
0	Refuse to adjust, relying on terms of agreement
0	Unanswered

Other Information

Company Info

This company's business is providing debt management services.

Primary Contact:	Scott Purdy (President)
Business Started:	2/11/2004
Social:

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Licensing

Nonprofit credit counselors are exempt from the licensing requirement for companies performing similar services if, among the other requirements for exemption, they maintain a $25,000 bond with the Commissioner of Business Oversight.

You may verify bonding by calling the California Department of Business Oversight at (213) 576-7500 or visiting their website at http://www.dbo.ca.gov.

For businesses outside of California, please check with the agency that regulates this industry.

Government Actions

BCA has no information regarding government actions at this time.

Comments and Analysis

This company indicates on their website that they are an enrollment agent that represents a non-profit credit counseling company. The company is a for-profit company that collects a monthly $39.00 administrative fee.

California law limits the fees that a non-profit company debt management services may charge to California residents. Those fees include a one-time sum not to exceed $50 for education and counseling. In addition, charges cannot exceed 8% of the money disbursed monthly or $35 per month whichever is less. This company charges $39 a month which we believe exceeds the permissible limits for California consumers.

We routinely advise consumers to get specifics on the company peforming the credit counseling services. Any non-profit offering credit counseling services should provide you with information and assistance on how to better manage your finances, as well as assist you with obtaining re-payment plans. Debtors may not realize that if their creditors do accept a negotiated settlement, the amount forgiven constitutes taxable income.

Other Considerations

We know of no other matter or practice relating to this company that may assist you in your consideration of this company.

Industry Resources

Advertising Reviews

Additional Info

DBAs:
There are no additional DBAs.

Websites:
There are no additional web sites.

Contacts:

Raphael Joseph III (Owner)

Addresses:

24544 Trabuco Road Suite 105-122, Lake Forest, CA, 92630-2797

Reputation Report

American Debt Relief Coalition

Complaints and Resolutions

Other Information