Department of Education Terminates Contracts with 5 Debt Collection Companies

Huffington Post reports that the US Department of Education is terminating its relationships with five debt collection agencies which have been contracted to collect student loans. This action is in response to an inspector's report that found fault with the agencies, specifically mentioning that some misrepresented the rights of the students, the collection fees, and the effect on the students' credit reports.  The agencies in question are below.

Pioneer Credit Recovery
Coast Professional
Enterprise Recovery Systems
National Recoveries
West Asset Management.

Parenthetically, the article mentions that Pioneer Credit Recovery is a subsidiary Navient, the company formerly known as Sallie Mae.  (Sallie, that girl.)

The government will be winding down its accounts with these companies and will transfer them to other agencies. Apparently there are approximately 20 debt collection companies authorized to collect student loan accounts.  If you are a student loan debtor, I suggest that you not believe anything these companies tell you, and get independent verification of anything they say. In addition, get them to put everything in writing.  As a matter of fact, you should do this when dealing with ANY student loan collector.  Just because these five got caught, doesn't mean they are the only ones doing nasty things to student loan debtors.  

Did Wells Fargo Publish a Manual on How to Create Fraudulent Foreclosure Documents?

It appears that they did.  The video below, from Democracy Now describes Wells Fargo's procedures for systematically creating documents to order to support the taking of peoples' homes.  (It's at the 43 minute mark in the video.)  video from Democracy Now

Circle City Auto Exchange - Indianapolis - Problems getting your title?

We are investigating Circle City Auto Exchange, located on Madison Avenue in Indianapolis.  From our initial investigation, it appears that some folks have had a hard time getting title to the cars they purchased there. Last year, the Indiana Secretary of State looked into the company and they found 40 instances where customers were given more than one temporary plate.  In two other instances, the company failed to deliver title as required by law.  Circle City Auto Exchanged entered into an order of Consent, agreed to pay a fine, and their license was put on probation for six months.  You should be aware that inability of a car dealership to give you title within the first 21 days of purchase is a sign of serious problems at the dealership. The dealer could be selling cars it doesn't own; or it could be in such financial problems that the company that is financing the dealer (the "floorplan" lender) won't release the title to the dealer.  In any case, if you can't get a certificate of title to a vehicle within 21 days of purchase, call our office.  We will be happy to assist you.