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Whitestar Financial / legitimacy

1 FL, United States Review updated:

I need to know whether this company is legitimate or not. I have read several concerns from people who think that they are not. They claim to be a christian based organization for debt consolidation. They charge one third of what you owe, but they seem to be doing nothing for me. asny info out there would be appreciated. thanks mona

Mo

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  • Up
      23rd of Jul, 2009
    0 Votes

    White Star took more money out of my account than agreed. They ruined my credit. My enrollment agent lied to me ...they credit card companies keep calling saying I need to pay them. IT IS A SCAM!!!1

  • Al
      18th of Aug, 2009
    0 Votes

    We don't tell our prospective clients that they are never going to hear from their creditors or that there won't be a negative effect on their credit. We are a debt settlement, not a credit repair, company.

    What we do say is that, unless you are already delinquent, any path that utilizes debt negotiation will affect your credit score and could in some cases lead to legal action. However, Whitestar provides support and services for those eventualities as well. Your score and your debt to income ratio will improve as your balances are settled. Furthermore, if you are carrying a large amount of debt on your credit report on a revolving basis, it is not helping your score. If you are making only the minimum monthly payments each month, especially if that is for an extended period of time, this of course is also not helping your score. And, if you are approaching the limits on your cards, this will typically have a negative effect. Finally, if your DTI (debt to income) ratio is over 70%, then you not going to be a good lending risk.

    Our goal with this program is to completely settle your unsecured debt at a significant discount and in a timely fashion (usually 1 - 2 years). Your credit score and your DTI, and thus your overal credit worthiness, will improve as you progress in the program and settle your debts.

    Please remember that anyone, and I mean anyone can post anything they want on an online message board, blog or forum and with no accountability or consequences. They could be competitors (and often are) or they could be customers who simply only heard what they wanted to hear.

    That’s why I direct people to the BBB. They have record of a company’s complaint history and subsequent resolutions. We are good there. For having as many clients as we do, there are a only a few complaints, and those have been resolved.

    Albert Michaels
    Whitestar

  • Al
      18th of Aug, 2009
    0 Votes

    Also, our contract, including the fee agreement, is presented to each prospective client, along with a payment schedule, before they commit. Our down payments are lower than most in the industry, and we use those to set up clients in the system, create a file and welcome packet, and to get the negotiators started working for them. If a client cancels after we do all that, of course we're going to keep some or all of the down payment. That is EXACTLY as the contract states.

  • La
      26th of Aug, 2009
    0 Votes

    Mr. Michaels can you explain why Whitestar is listed as " Credit-Debt Consolidation Services" instead of debt settlement? Would being listed as a debt settlement company on the BBB site cause your rating to be lower?

  • No
      4th of Dec, 2009
    0 Votes

    Do not use this company. They are all TALK AND NO ACTION! My husband and I went with this company, and it has been nothing but a STRESSFUL mess. They are quick to send all paperwork the first week, get that payment schedule set up, then nothing. Then I received a summons from one of my creditors. What a mess, every time I call them no one knows anything, they have to look into it and get back to me. They are the first to point out that "they are no lawyers" so in reality when dealing with summons and arbitration's they are clueless.
    They say they are going to do something ie: fax, call, write to the creditors, but when I asked for proof that they are in contact with my creditors they send me blank papers, some doubles, without signatures, dates or even faxed confirmations. At the same time I've received letters from attorneys/arbitrators that they haven't heard from anyone. Now remember that they are "dealing with 1000's of customers on a daily basis and they can't just pay attention to one account" also they only have one person in the company that handles all of their negotiations.
    I have repeatedly asked them for a refund, no longer trusting this company and they convince me to "do their job"
    Well no longer, this is the first step of a long series of letters being written along with the BBB and the Attorney General.

    Again do not contact this company, save yourself ALOT of money and deal with your creditors yourself,

  • Ni
      16th of Dec, 2009
    0 Votes

    WHITESTAR FINANCIAL SERVICES promised me that they will be able to settle my credit card debts and they recommended that I stop sending payments to my credit cards but I should send payments to them. I sent a total of $1394.42 and nothing has been done to help me. I decided to cannel with them and they said all they can give me back is $395.74 and none of my credit cards have been settled. My credit has been negatively affected based on their recommendations

  • Ni
      16th of Dec, 2009
    0 Votes

    I'M STILL WAITING FOR MY REFUND

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