AG Ellison Shuts Down Fraudulent Minnesota Student Loan Debt Settlement Company
The company also collected its fees in advance before performing the promised services, which is illegal under Minnesota law governing debt settlement services. Additionally, Document Assist Center was operating without being registered as a debt settlement service provider, as required by Minnesota law.
The settlement, filed in Ramsey County District Court, requires Document Assist Center to immediately pay the state $11,499 — the full amount it has collected but not otherwise reimbursed to its Minnesota clients — that the office of the Attorney General will use to provide full restitution to those affected. . The settlement also requires Document Assist Center to cease operations in the state unless and until it registers as a debt settlement service provider.
“Minnesotans take out student loans in good faith so they can pursue education that will help them better afford their lives. My office shows once again that when companies take advantage of this good faith to rip off Minnesotans, we come after them,” Ellison said. “I encourage any Minnesotan who has fallen prey to this company or others like it to contact my office so we can hold these bad actors accountable.”
Student loan debt relief companies often charge consumers hundreds or thousands of dollars in illegal upfront fees to enroll them in repayment plans or consolidation loans that all eligible federal borrowers can apply for on their own. same for free through the United States Department of the United States. Education. Often, these companies trick consumers into thinking that the fee will be used to pay off consumer student loan debt, when the companies are actually pocketing the fee.
Ellison encourages anyone who has been victimized by the Document Assist Center and wishes to claim reimbursement to contact the Attorney General’s Office by calling 651-296-3353 (metro) or 800-657-3787 (Greater Minnesota), or by submitting a complaint form on Attorney General’s website.