Consumer complaint received 2026-04-28 00:00:00
Product: Debt or credit management — Debt settlement
Issue: Didn't provide services promised — 
Company: The J. G. Wentworth Company
State: TX

Complaint narrative:
XX/XX/XXXX- I signed a contract with JG Wentworth ( JGW ) to assist with debt settlement. Every other week payments to JGW were debited from my checking account that went into a dedicated savings account. This account was owned by me, but managed by JGW for them to make payments to creditors on my behalf and to withdrawal the agreed upon fees associated with my account. XX/XX/XXXX- JGW negotiated a settlement agreement with creditor 1 that stipulated 24 monthly payments of a specified amount would be made ( last payment XX/XX/XXXX ). Per my contract with JGW, they would use my dedicated savings account to send the payments directly to the creditor. I would pay JGW 25 % of the original enrolled debt in fees along with a XXXX XXXX monthly check fee for sending payment. JGW would debit the fees out of my dedicated savings account by following a schedule that was shared in their online portal. XX/XX/XXXX- JGW negotiated a settlement agreement with Creditor 2 that stipulated monthly payments of at least {$50.00} ( due on the 27th of each month ) until the full balance of the settlement was made. Per my contract with JGW, they would use my dedicated savings account to send the payments directly to the creditor. I would pay JGW 25 % of the original enrolled debt in fees. JGW would debit the fees out of my dedicated savings account by following a schedule that was shared in their online portal. XX/XX/XXXX - I requested via customer service that only one monthly payment to JGW be debited from my checking account, instead of twice monthly and this was set up for me. The new monthly amount was less than what was being paid with two payments a month. I asked why and was told that's what " the system '' came back with as the monthly payment. Starting in XX/XX/XXXX- Due to my payments to JGW being reduced two months prior, my dedicated savings account no longer had enough funds to cover payments to my creditors and fees owed to JGW ( based on the fee payment schedule they created ). So, JGW started crediting my dedicated savings account to cover payments to creditors. Once my payment to JGW posted each month, they would debit the amount they credited me the month prior. Doing this required them to, once again, credit my dedicated savings account to pay creditors. This stared a cycle where at the end of every month my dedicated savings account would have a negative balance. However, when viewing the statements for my dedicated savings account on their online portal, my balance never showed negative. JGW could have restructured the fee schedule to prevent this from occurring, but refused to do so several time when I called and asked. This action caused me to have to replenish the balance of my dedicated savings account when I made my final payment to JGW. XX/XX/XXXX - I received an email notification from XXXX that there was negative activity on my account. When I viewed my credit report, it showed a 30 day late payment to Creditor 1. However, according to the contract signed with JGW, my debt with Creditor 1 should have been fully settled after the payment made in XXXXXXXX XXXX XXXXXXXX. I logged into my account with Creditor 1 on their website and it was showing that I still owed a significant amount of money. XX/XX/XXXX - I called JGW to share the above information with them. I was told that an email was sent to the XXXX XXXX XXXX and they would reach out to Creditor 1 to resolve. During this call, I also asked for my payoff amount that would fully pay Creditor 2 and all fees still owed. I then asked the customer service agent to debit that amount from my checking account. I was told the funds would be debited in the next few days. XX/XX/XXXX - The final payment to JGW had not yet been debited from my checking account and my online account with Creditor 1 was still not showing paid off. I called Creditor 1 to ask them if they would be willing to redact reporting a 30 days late payment to the credit bureaus and ask them to hold off on reporting a 60 days late payment as that date was coming up. During the phone call with Creditor 1, I discovered two things. One, no one from JGW had reached out to them to discuss my account. Two, the payment for XXXXXXXX XXXX XXXXXXXX was not received and thus only 23 of the 24 agreement payments were made. Since no payment was received for more than 30 days, the settlement agreement was broken and I now owe the original amount of the debt, minus payments that were made by JGW and interest is still accruing. I immediately called JGW to inform them of this situation and to find out why the payoff amount had not been debited from my account. I was told that another email was sent to the XXXX XXXX XXXX and given an updated payoff amount and exact date that it would be debited from my checking account. It was also shared with me that the XXXX XXXX XXXX does NOT talk to customers, no email can be shared to contact them directly, and they handle internal emails on a first come, first served basis. XX/XX/XXXX - The payoff amount was credited to my Dedicated Savings Account. XX/XX/XXXX - I called Creditor 1 to ask if they had heard from JGW regarding my account- they had not. So, I called JGW and demanded to speak with a supervisor as my account with Creditor 1 was still not showing updated to paid in full and the final payment to fully settle with debt with Creditor 2 had not yet been made. I spoke with XXXX who sent another email to the XXXX XXXX XXXX and shared that she added me to her calendar the next several days and would follow up with me as soon as she hears back from that team as her email asked for them to provide her with an update. XX/XX/XXXX - Final payment was made to Creditor 2 from my dedicated savings account. I called JGW and asked to speak with XXXX as I had not heard back from her. She had not heard back from the XXXX XXXX XXXX. XX/XX/XXXX - Remaining settlement fees were debited from my dedicated settlement account XX/XX/XXXX - Still have not heard from JGW. Creditor 1 and Creditor 2 accounts not not showing as fully paid when I log into my account on their webpages. XX/XX/XXXX - Received voicemail from XXXX on the account resolution team at Creditor 1 informing me that my account was reviewed by the settlement team and if I can make one more payment on my account, they will honor the settlement agreement. XX/XX/XXXX - I called Creditor 1 and made the payment. XX/XX/XXXX - I called JGW to inform them that I made a payment to Creditor 1 and ask how they intended to pay me back for that payment as my dedicated savings account was debited for this payment. I also wanted to find out when I will receive the funds remaining in my dedicated savings account. I was told that the supervisor, XXXX, was busy and would call me back. I have not heard back from her. XX/XX/XXXX - I called JGW, again, as I have not heard from anyone for nearly one month. I wanted to get an update on how and when I would be paid back for the payment I made to Creditor 1 on XX/XX/XXXX, when I would receive the funds leftover in my dedicated savings account, and also ask for proof that Creditor 2 considered my account fully settled. Once again, XXXX was not available and I was told that she would call me back when she was free after XXXX XXXX. It is currently XXXXXXXX XXXX as I type out this sentence. While I was waiting on a call back from JGW, I decided to log into my account with Creditor 2 and see if they were showing fully paid. They are not. Since there was a missing payment from Creditor 1 and JGW never informed me of this matter, I decided to go ahead and call Creditor 2 and ask when my account would show fully paid as I can see that they received the final payment on XX/XX/XXXX. The customer service representative, XXXX, at Creditor 2 told me that there is no record of a settlement on my account. After digging in further, I was told that the payments for XXXX, XXXX, XXXX, and XXXXXXXX XXXX XXXXXXXX were paid late. The settlement was broken on XX/XX/XXXX. Just like with Creditor 1, it was never shared with me that JGW had violated the terms of the settlement agreement and that it was no longer active. In fact, I was told today that my program graduation paperwork had been submitted and I should receive an email notification that I completed the program in the next 30 days. JGW failed to meet their contractual obligation with BOTH creditors that I had in the program. They do not return my phone calls. The department that supposedly handles situations like mine does not have any contact with customers. Although I was able to work with Creditor 1 to get them to honor the settlement agreement that was negotiated by JGW back in XXXXXXXX XXXX XXXXXXXX, I do not know if I will be able to do the same with Creditor 2 and may still owe them the full debt amount ( minus what was paid by JGW ). I paid settlement fees ( 25 % of the original debt amount for each creditor ) to JGW to handle negotiating a settlement agreement and make the payments to the creditors that honored the agreement. They did not make all the payments/did not make them on time. They never informed me that the settlement agreement was no longer in place for both creditors. I doubt they even knew.

Company response to consumer: Closed with explanation