Covenant Debt Solutions

My husband and I enrolled in the program in December 2009. We were given scripts to handle the creditors, and a log to record all of the creditor calls. After the first several months, the calls became unbearable, I called in several times to ask what can be done, after all I am paying over $800.00 a month to get help!!! The creditors began calling our in-laws! In June 2010 we were served a summons for one of the credit cards! When I called Covenant the response was, "well that can happen". What? I have been paying $891.99 per month, of which only $241.00 went into a reserve account, the rest went to fees!

In the end over $4,000.00 went to Covenant Debt Solutions and Note World Services. We have had to retain a lawyer and file for bankruptcy (another $1,500.00). Basically, had we just retained a lawyer in December 2009, we could have saved over $6,000.00. For over 20 years my husband and I have paid our bills and have never been late on anything. Because of the economic situation in the country CHASE decided to double our intrest rate in December 2009 effective January 2010. This was the reason we had to seek help to begin with. It is very sad that the people who pay there bills, are the ones who get taken! Consumers beware!

I signed a contract with Covenant Debt Solutions on 12/19/2009. I thought at the time I was signing the contract that this was the company I had contracted with. This is not the case. Once you sign the contract you never deal with an employee of this company again. The company began taking payments from my bank account in the amount of $327.66, starting 1/19/2010. They were charging me a $234.87 service fee and $14.50 maintenance fee. I was of the understanding when talking to Chris of Covenant (prior to signing the contract) that the company would help with creditors calls and let them know I was in the program. This was not the case. The help was to provide a script to tell creditors to stop calling, or potentially change my number. They also gave me a scripted letter to send to the companies (at additional expense to me) to tell them to start calling.

In phone conversations with Dept Talk, I asked what I was getting for the approximately $2000 they were charging me. I was told that they didn't talk to creditors and they would negotiate (once I had the money in the account) to pay off debts at a reduced rate. I stated that a bankruptcy attorney would charge me about the same and would talk to creditors for me. They stated I didn't want to file for bankruptcy as this would adversely affect my credit. They stated this program would clear my credit sooner.

I was told that if I contacted the company prior to the draw date that they would not make the draw from my account. In February I had bounced checks as they drew the money out the day before my pay date. On March 19th, I faxed a letter requesting they not make the draw. They made the draw on the 23rd anyway, which resulted in bounced checks again. I received an e-mail that Monday conveniently stating that their fax machine was not working and therefore you need to send an e-mail, which I did. I also re faxed the request. They still took the money.

The consequences of this have been to drive me further into debt. They have taken $982.98 from me and provided no service whatsoever. I have also incurred approximately $200 in bounced check fees and my debt they were supposed to help me with has not been addressed at all. This money would have paid off one of my accounts. I am requesting to severe ties with this company and requesting they return my money. From the previous post I am no longer expecting to receive any of the money back. This is a scam and no one should become involved with this company.

On 09/16/09, I signed acontract with Covenant Debt Solutions to have them settle my unsecured debt and credit card accounts. Covenant used the services of Noteworld Service Center to deduct monies from my checking account to payoff my debt. Noteworld began to deduct $535.74 on the 17th of each month, beginning on 10/17/2009. The monthly deduction included $390.93 for service fee, $14.50 for maintenance fee and $130.31 to be placed in my trust account. It was very difficult to speak to Covenant's customer service department and I decided to cancel their services on 11/30/09.

I spoke with "oscar" who stated my trust account funds would be mailed to me within 7-10 days and pursuant a phone call from Brian. I waited but no check was sent to me. I phoned Brian who stated that he was not in charge of approving issuance of any checks and that he would have a supervisor contact me. I never received a phone call from a Covenant supervisor. To this date, no check has been issued/received from Covenant or Noteworld. I placed a stop payment with my bank to prevent Noteworld to continue taking my monies.