Consumer complaint received 2022-04-12
Product: Money transfer, virtual currency, or money service — Debt settlement
Issue: Unexpected or other fees — 
Company: Strategic Financial Solutions, LLC (TX)

1. Per the Debt Resolution Agreement, XXXX 's fees for Settlement services is 25 % of the amount of the Debt on the Effective Date as reflected in the Schedule of Creditors and Debt ( further referred to as " enrolled debt '' ). The total amount of my enrolled debt was originally {$20000.00} effective XX/XX/XXXX. I removed one debt totalling {$9100.00} effective XX/XX/XXXX. The final enrolled debt amount was {$10000.00}. 25 % of {$10000.00} is {$2700.00}. The total amount of Settlement fees disbursed to XXXX was {$2800.00}. That is an overage of {$160.00} that was paid to XXXX. I contacted XXXX to discuss this matter. I was transferred to XXXX, the supervisor/manager that was supposed to be reviewing my case. I was advised that it would take 3-5 business days to review and get back to me regarding a possible refund. I did not hear back after 5 business days and called again. I was put on hold and then told that XXXX wasn't available, but would return my call. That did not happen. When I email for assistance, the response I receive is to call XXXX. 

2. The debt resolution agreement contains an Optional Program Add-On Service Opt-Out Waiver, but I was unable to sign that page when sent the agreement via XXXX ( now XXXX Sign ). The sender has to select the pre-set areas for the signer to sign. How am I supposed to opt out of a $ XXXX fee when I'm unable to sign the page? The only page I was able to sign was the XXXX XXXX XXXX XXXX agreement page which was presented to me as a part of the program. The mention of the fee isn't even on the same page where I'm made to sign which is again misleading. 

3. XXXX charged me a total of {$370.00} in 2nd day delivery fees. While the amount of the fee is disclosed on the XXXX XXXX Account Agreement and Application, there is no mention anywhere that this is the method being used to disburse payments. I contacted the creditors to find out how payments may be made and was told that ACH and Direct Pay are options. I contacted XXXX to dispute the charges but was told that I needed to contact XXXX. 

4. XXXX failed to make the final payment on time to one of my creditors, and subsequently failed to notify me that there may potentially be a problem. I was made aware when I was served papers from the creditor because XXXX failed to meet the settlement agreement in place causing us to pay an additional {$450.00} to settle an already settled account. That amount could have gone towards another debt settlement that was being underpaid. 

5. The first enrolled debt to be settled was done starting with payment on XX/XX/XXXX. The agreement was that the settlement amount of {$2900.00} be paid in XXXX installments. XXXX paid {$15.00} for the first two payments to the creditor, but took {$100.00} for their fee. The remaining payments made to the creditor were in the amount of {$75.00} each month. They took their fees, but left the final two payments to be made to cover almost half of the settlement amount. My account was never so low that they could not make higher installment payments. I terminated my agreement to prevent them from drafting any more money from my personal checking account once I saw how much they were charging in extraneous fees leaving an unpaid settlement balance of {$1400.00} to the creditor that I am now having to settle with myself. 

6. My enrolled debt ( final amount ) = {$10000.00}. The total debt settlement amount = {$6800.00} ; total debt settlement actually paid = {$5000.00} ( {$1400.00} was unpaid to final creditor ). 
Total debt settlement fees collected by XXXX = {$2800.00} Total fees collected for affiliate = {$410.00} Total fees collected by XXXX = {$320.00} Total disbursment fees collected by Global = {$420.00} Debt settlement amount = $ XXXX Fees {$4000.00} = {$10000.00} Enrolling in this program essentially saved me {$28.00}. However, because I still have to renegotiate a settlement for the final debt that XXXX negligently underpaid while still collecting their fees I actually end up paying more money in the long run. XXXX has actually cost me {$1400.00}. They tell you that your credit may get worse, which it did, but they do not tell you that after all is said and done you will not actually save any money because they get the rest in fees. This kind of company should be illegal.