Bill McCollum (R)
TALLAHASSEE, Fla. (Legal Newsline) -- Florida Attorney General Bill
McCollum has announced the state is participating in a nationwide
collaborative effort that is targeting credit repair operators.
The initiative, Operation Clean Sweep, is a joint effort with the
Federal Trade Commission and 23 states, aimed at taking action
against 36 companies engaged in potentially deceptive or misleading
business practices.
The FTC and the states alleging the companies have charged advance
fees for credit repair services and violated federal and state laws
governing credit repair organizations.
"Whether through credit repair, debt management, debt settlement, or
interest rate reduction schemes, it is unacceptable to deceptively
convince consumers facing financial distress to part with their
money," McCollum said.
The Republican attorney general announced last week that his office filed a lawsuit against Dunedin-based Enterprise Technology Group, Inc., and settled with 16 defendants associated with New Leaf Associates, LLC, a Pinellas County company engaged in a debt elimination scheme.
McCollum said consumers need to be cautious of firms offering debt
relief, debt management, credit counseling and credit card rate
reduction services. He claims the goal of these companies is to get
consumers' money with no real benefit provided.