Attorney General Phil Weiser announced today that state regulators with the Colorado Department of Law reached an agreement with Florida-based debt management company Touchstone Partners, Inc. over violations of the Colorado Debt Management Services Act. Under the terms of the agreement, the company will refund over $110,000 to consumers.
State law obligates debt management companies to include consumer protections in their agreements and requires companies to provide consumers with a signed agreement. In this case, Touchstone failed to sign and date its agreements, and must now issue partial refunds for fees collected.
“In Colorado, we scrutinize debt management companies because consumers who seek their services are usually already facing financial challenges,” Weiser said. “We will always protect Colorado consumers by ensuring businesses adhere to consumer protections and hold accountable any companies that violate the law.”
Touchstone has agreed to send refunds to consumers directly and those affected will not have to take any action to receive their money back. Refunds will begin in January.
The Consumer Credit Unit regulates companies and individuals involved in consumer lending, debt collection, debt management, mortgage servicing and student loan servicing, and enforces a variety of statutes governing those and related practices. To learn more, or if you are experiencing an issue with a debt management provider and wish to file a complaint, visit the Colorado Attorney General’s website.
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