By Richard Dauval
Be careful out there. The high cost of automobiles and the unprecedented number of 5+ year car loans is taking a financial toll on Tampa Bay consumers.
Tampa Bay has recently seen an uptick in auto loan modification companies that are simply scams. Much like the foreclosure defense scams that did nothing more than take money from cash-strapped homeowners, these auto loan modification companies are doing little more than taking cars and leaving the debtors on the hook for the loan.
Here is how the “so-called” auto loan modification or “solution” works:
- The auto loan modification company will advise their client to stop paying on their car loans and either collect a “negotiation fee” or alternatively offer to purchase the car from the consumer for several hundred dollars;
- The auto loan modification company will then assure the client that they will negotiate a modification or cancellation of the debt; and
- Then, unbeknownst to the consumer, the company will ship the car out of state to take advantage of legal loopholes that will allow them to clear the title of all liens (e.g., “wash the title”).
Federal Trade Commission Action
The Federal Trade Commission (FTC) took on three such scams in California. Details of this scam are featured in this Press Release issued by the FTC.
The truth is, when consumers are sinking financially, they often will take the advice of anyone offering to help. They don’t fend for their client, they fend for themselves: CBS is the only true debtor friendly alternative to repo agents and scam artists. CBS was founded by licensed professionals who understand bankruptcy and debt/credit law . . . and are well respected in their community. CBS was developed to legitimately help bankruptcy attorneys and trustees (and ultimately the debtors who filed bankruptcy) solve their problems with surrendered collateral.
Here is how CBS works:
CBS will reach out to your client to arrange a pick-up time and date that is convenient to them – at no cost to the debtors.
- CBS will provide your client with a Receipt of Possession, to document the transfer of the car, boat, RV or motorcycle, and promotional codes for free credit counseling or debtor education.
- CBS will provide to you a $100 AMEX gift card as a small token of thanks for the referral and your trust.
If you or your bankruptcy client want to know more about CBS and our success in coordinating the surrender of vehicles, please visit our Facebook page or the Frequently Asked Questions on our website. Once you have had all of your questions answered by a legitimate company established to solve problems, you can contact CBS to arrange a pickup.
Collateral Bankruptcy Services, LLC is a company that assists trustees, debtor's attorneys, and debtors in correctly and effortlessly surrendering automobiles incident to the bankruptcy process. We also offer Legal Practice Consulting to aid Debtor's Attorneys in identifying potential new business opportunities, improving process, and increasing profitability. For more information, please visit us at www.CollateralBankruptcyServices.com or call us at (727) 362-4944. We will look forward to assisting you.