Consumer complaint received 2024-09-23 00:00:00
Product: Debt or credit management — Debt settlement
Issue: Didn't provide services promised — 
Company: Financial Freedom Group, LLC
State: TX

Complaint narrative:
On XX/XX/XXXX DebtBlue approved my application to enroll in their debt consolidation program. They enrolled XXXX accounts totalling a debt of {$14000.00}. The expectation was that DebtBlue would use their experience to settle for less than the balance owed. In return, I agreed to pay a fee of XXXX  % of the amount reduced to DebtBlue. 

I was told to : ( a ) stop paying all enrolled creditors in order to get a favorable settlement ; ( b ) enroll in an autopay program with DebtBlue to withdraw {$350.00} monthly to " build up '' a balance that could be used to negotiate with creditors ; ( c ) encouraged to enroll in a {$39.00} per month legal plan to assist with any creditors that might want to pursue legal action against me. 

In XX/XX/XXXX DebtBlue did settle XXXX account ( of the XXXX ) for about half of the owed balance. Then, for XXXX months they did nothing but draft my account and collect fees. Between XX/XX/XXXX and XX/XX/XXXX, DebtBlue drafted {$3500.00} from my account and helped themselves to 'DSRP Earned Fees ' totaling {$1400.00} in the same period. They kept XXXX  % of all funds collected in that period for themselves, with no accounting as to what it was for. 

After I complained in XX/XX/XXXX, DebtBlue suddenly said I qualified for " early graduation '' and through a sister company with the same corporate address ( XXXX XXXX XXXXl ), obtained a loan for {$6500.00}. The loan would be serviced through a XXXX  party ( XXXX XXXX ) but the funds would be deposited directly into my DebtBlue account, and could only be spent by DebtBlue representatives. 

In addition, the loan was not free or at a reduced interest rate. Starting in XX/XX/XXXX, XXXX began monthly drafts of {$340.00}. Due to the way XXXX XXXX structured the loan ( as an installment loan ), as much of XXXX  % of some payments went straight to interest. 

By this time, due to DebtBlue 's negligence, I had settled most of the enrolled accounts myself and had racked up an additional {$3200.00} in interest and fees on those enrolled accounts. 

In XX/XX/XXXX, DebtBlue used the XXXX XXXX funds to pay {$2200.00} to the XXXX account they had settled, and collected another {$160.00} for themselves in the form of another XXXX Earned Fee. ' Even though my DebtBlue account had an enormous balance, they still did not settle any of the remaining accounts from XX/XX/XXXX to XX/XX/XXXX. 

I complained again, and DebtBlue agreed to close my account. They paid the XXXX remaining creditors IN FULL, with no balance reduction, in XX/XX/XXXX. Then, between XX/XX/XXXX and XX/XX/XXXX, DebtBlue charged an additional {$970.00} in 'DSRP Earned Fees ' from my balance. They sent the remaining balance ( {$280.00} ) back to XXXX XXXX. 

DebtBlue settled only XXXX of XXXX accounts they promised to settle. They collected {$2600.00} fees for themselves with no accounting, and their inaction for more than a year cost me more than {$4300.00} in interest and fees. They forced me into a high-interest loan through a sister company ( XXXX XXXX ) that has, through XXXX, drafted an additional {$4100.00} from me, keeping {$1500.00} ( XXXX XXXX ) in interest. And XXXX claims I still owe them {$3700.00} as of today. 

Through DebtBlue 's negligence and questionable business practices, I have paid {$8000.00} for debt settlement, received approximately {$3600.00} in " relief, '' and have paid {$4100.00} in FEES and INTEREST to DebtBlue and their affiliated companies with little to no services provided.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation