Consumer complaint received 2024-08-02
Product: Debt or credit management — Debt settlement
Issue: Unauthorized withdrawals or charges — 
Company: FREEDOM FINANCIAL NETWORK (CA)

Freedom Debt Relief ( FDR ) has demonstrated a blatant disregard for fair business practices and legal obligations in their handling of my account. On XX/XX/year>, XXXX proposed a settlement to refund {$4200.00} in overpaid fees and return {$14000.00} in escrowed funds, which I accepted. After I modified the nondisparagement provision to comply with California law, XXXX reneged on the agreement, retaining the {$4200.00} in overpaid fees, and unlawfully withdrawing an additional {$2400.00} in fees before returning only {$12000.00} from the escrow. This conduct constitutes a breach of contract and a clear violation of both the Fair Debt Collection Practices Act ( FDCPA ) under 15 U.S. Code 1692g ( b ) for failing to provide proper debt validation and the Federal Trade Commissions Telemarketing Sales Rule ( TSR ) for unauthorized fee withdrawals. The pattern of proposing settlements and then repudiating them, while retaining and unlawfully deducting funds, indicates a systemic issue within XXXX that demands urgent intervention by the CFPB to protect consumers from such unfair and deceptive practices. The details of my case are substantiated by the following exhibits : [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ( XXXX ) ; Recipient : XXXX XXXX ; ( XXXX settlement offer detailing terms for refund and program termination ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX ( XXXX ) ; ( Acceptance of XXXX settlement offer by XXXX XXXX XXXX ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ( XXXX ) ; Recipient : XXXX XXXX ; ( Acknowledgment from XXXX regarding settlement acceptance and further steps ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX ( XXXX ) ; ( Discussion of legal terms and redlined changes to the settlement agreement ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX ( XXXX ) ; ( Redlined version of the settlement agreement with proposed changes ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ( XXXX ) ; Recipient : XXXX XXXX ; ( Second acknowledgment of receipt from XXXX and update on legal review ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX ( XXXX ) ; ( Request for update on the settlement document, transfer of funds, and SFCU documentation ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ( XXXX ) ; Recipient : XXXX XXXX ; ( XXXX 's repudiation of the agreement and conditions for refund processing ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : Freedom Debt Relief ; ( Notice of intent to sue due to recanting of the settlement and demand for fund transfer ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : Freedom Debt Relief ; ( Demand for refund of {$14000.00} and mention of a {$4200.00} claim filing with XXXX XXXX ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : Freedom Debt Relief ; ( Response to repudiation and assertion of legal action and demands ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX ( XXXX ) ; ( Transmittal of the signed settlement agreement ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : Freedom Debt Relief ; ( Signed settlement agreement and general release ) ; [ EXHIBIT XXXX ] Date : XX/XX/year> ; Sender : XXXX XXXX ; Recipient : XXXX XXXX XXXX ; ( Filing of the case against XXXX in XXXX XXXX XXXX ) ; Given these facts and the provided documentation, it is evident that XXXX 's actions are not only in bad faith but also violate consumer protection laws. I urge the CFPB to take immediate action to investigate XXXX 's practices and enforce compliance with federal regulations to prevent further harm to consumers. Please publish this feedback on consumerfinance.gov so others can learn from my experience.