Consumer complaint received 2020-10-05
Company: FREEDOM FINANCIAL NETWORK
State: NY
Product: Debt collection
Sub-product: Credit card debt
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
I started using Freedom Debt relief to help me settle my debt in XX/XX/2019. Since that time I have paid a total of {$7200.00} which includes 2 separate settlement fees, and only one settlement has been settled thus far. It was my understanding that I had completely settled and paid off one debt and settled on another and am making payments on that. A few months ago I realized that the settlement that I thought was completely paid off ( including all fees to the company ) never was closed and was still showing as active. When I called to question this they said that they weren't sure what happened and they didn't have an answer for me at that time. At this point it was showing that I had {$0.00} in my dedicated account so I questioned where the money had gone if the debt wasn't paid off or even settled on. After talking with several people someone finally said that they believe that the company that they settled with sold my debt off after receiving the full payment for the debt. When I questioned how this could happen they suggested that I call the company because they weren't sure where the account was sold to or where the funds they sent were XXXX Amount paid {$3400.00} XXXX. I then called the company and they stated that they never received the payments but did give me the name of the collection agency where the account was sold. I called back Freedom Debt Relief and notified them of this and they said I could reach out to the collections agency and see what the total was for and try and get some more information on it. I called the collection agency and they stated the amount and date that the account was sold to them and I asked if they would settle for the same amount that I had thought I already settled for and paid off in full and they agreed. I then called Freedom Debt Relief and told them I wanted access to my funds so that I could settle with the company myself because I had already paid the full amount and the account should have been closed. The representative that I spoke with said she would reach out to management and see if she could get my funds released to me so that I could make the settlement myself. When i asked if I would be refunded the {$1400.00} that was paid in settlement fees she stated that it would not be refunded because they had negotiated for me and already settled ( even though clearly they hadn't XXXX. She then said she would call me back to see if it would be approved for me to get the funds that I had already paid so that I could settle myself with the collection agency. I never heard back from the woman. At a later date I called back to get some answers as to where the money I had already paid went and why that account still was not settled and they stated that they had to start the whole negotiating process again with the collection agency. I asked where all the funds were that I had already paid because only some were credited back to my account. I was missing {$780.00} to my knowledge. They said one of the payments was sent to the original company and was credited to the account. After reiterating that the numbers were still not adding up for how much I had paid thus far and how much was in my account I demanded that someone go through the account and explain where the missing money was. After the representative went through all statements he agreed that there was definitely money missing and said there was also other information missing. This is the third time I have called and talked with someone about this issue. I've been told every time that this was going to be tiered up to management and I should be contacted with a resolution. This clearly did not happen. I really need some guidance as to what I should do next.

Company response to consumer: Closed with explanation