Illinois AttorneyAttorney general Lisa Madigan today introduced her office’s annual leading 10 customer grievances for 2016 that once more show customer debt and also identification theft rated as the top problems among Illinois consumers in the last year.
Signing up with Madigan in going over the top scams facing Illinois customers were Todd Kossow with the Federal Profession Commission (FTC)’s Midwest Area, Steve Bernas with the Better ServiceBbb (BBB) of Chicago as well as Northern Illinois and EC Woodson with the United States Postal Examination Service in Chicago.
Madigan’s workplace got 23,735 grievances in 2016. For the nine year in a row, customer financial debt ranked as the leading grievance, with 2,783 complaints including problems such as home mortgage borrowing, violent debt collection methods and also aggressive payday car loanspayday advance loan.
Phone number two on the list also for the ninth year straight is identification burglary, with 2,391 issues.
Education-related problems now rank number six, leaping a notch from last year’s checklist and showing the ever-growing pupil financing financial debt situation. Regarding 44 million Americans come to grips with even more compared to $1.4 trillion in student lending debt and many borrowers deal with problems with loan servicers and predacious for-profit institutions.
“My office continuescontinuouslies see an increase in education and learning problems, consisting of lending servicers that don’t supply precise assistance as well as for-profit institutions that provide pointless degrees,” Madigan stated. “I remain committed to looking for relief for trainees as well as holding institutions and lending servicers that devote fraudulence responsible.”
In January, Madigan filed a lawsuit against Navient and also its precursor Sallie Mae for the business’ persecution of student funding consumers from start to finishfrom beginning to end – from stemming trainee loans to servicing those lendings as well as collecting on defaulted trainee financings. In enhancementAdditionally, Madigan is functioning to change student finance servicing in Illinois. Madigan has testified before Congress and advised the United States Division of Education to break down on the lots of misuses and also frauds encountering trainee debtors. She has repeatedly contacted the US Department of Education to right away forgive federal lendings of pupils that participated in fraudulent for-profit colleges. Madigan reached a $15 million settlement with Westwood College in 2015 that forgave private debt owed by pupils of Westwood’s criminal justice program. After settling Madigan’s lawsuit, the university announced its closure. Even more thanGreater than 3,600 former Westwood College pupilsUniversity student in Illinois got an averageapproximately more compared togreater than $4,200 in alleviation under the settlement, in additionalong with the prospective federal financing alleviation required by Madigan. Madigan’s examination into Everest College, which was run by Corinthian Colleges Inc., revealed prevalent misrepresentations made to prospective trainees, sustaining the Department of Education and learning’s very own findings of fraud. Madigan additionally got to a negotiation with Education and learning Management Firm (EDMC), which runs five Illinois Institute of Art and also Argosy College schools in Illinois. The negotiation requires EDMC to supply disclosure to trainees about the real price of the college and assumptions for task placement after graduation and also forgives more compared togreater than $3 million in lendings for Illinois trainees, as well as returns money fraudulently acquired from the state of Illinois. Madigan was additionally the initial attorney general in the nation to take activity versus student funding debt alleviation frauds. These rip-offs target student lending debtors who are determined for aid to stay clear of failing on their car loans and end up obtaining scammed into paying loan that does not reduce their financial debt. Once these scammers unlawfully take upfront fees from consumers, they do little to assistin order to help them with their repayments. Madigan’s office runs a cost-free Pupil Financing Helpline to give pupil consumers with sources regarding payment choices, preventing default or to file an issue regarding finance maintenance at -LRB-800-RRB- 455-2456 (TTY:1 -800 -964 -3013). More details can also be found on her website.
Madigan’s annual top 10 list of customer issues rates every grievance her workplace gets on an arraya variety of subjects. In total, Madigan’s Customer Scams Bureau returned even more compared togreater than $48 million in savings through litigation and also arbitration to Illinois customers in 2016. In enhancement to consumer financial debt, identity theft and also education-related issues, Madigan noted other categories that covered her checklist of problems entailed telecoms and house repair work.
Heres the checklist:
1. Customer Financial debt (home mortgages, collection firms, banks) 2,783
2. Identity Theft (federal government paper scams, credit reportbank card, utilities, data violations) 2,391
3. Promotions/Schemes (phone scams, financial investment schemes, lotto game frauds, phishing) 2,387
4. Construction/Home Enhancement (remodeling, roof coverings and also seamless gutters, home heating and also coolingheating and air conditioning, plumbing) 2,094
5. Telecom (telemarketing, cable and also satellite TELEVISION, phone servicephone company and also repair services, cell phones) 1,851
6. Education and learning (for-profit colleges, pupil financing debt, car loan counseling) 1,691
7. Used Car Sales/Motor Cars(as-is made use of vehicles, financing, guarantees) 1,648
8. Internet/Mail Order Products (Web and directory purchases, TELEVISION and also radio marketing) 955
9. Motor Vehicle/Non-Warranty Repair(accident, engines, oil changes as well as tune-ups) 677
10. New Auto Sales/Motor Autos (funding, problems, advertising and marketing) 668
For more infoTo find out more, see Madigan’s web site or call her office concerning consumer fraud issues.
Customer Scams Hotlines: 1-800-386-5438 (Chicago), 1-800-243-0618 (Springfield) or 1-800-243-0607 (Carbondale)
Spanish Language Hotline: 1-866-310-8398
Student Car loan Helpline: 1-800-455-2456
Identity Theft Hotline: 1-866-999-5630
Homeowner In January, Madigan filed a lawsuit against Navient as well as its precursor Sallie Mae for the firms’ persecution of trainee loan debtors from start to end up – from coming from trainee financings to servicing those lendings as well as accumulating on defaulted student fundings. These rip-offs target trainee car loan consumers who are desperate for help to avoid failing on their lendings and finish up obtaining scammed right into paying loan that does not reduce their debt. Madigan’s workplace runs a totally free Pupil Financing Helpline to provide student debtors with resources concerning payment alternatives, staying clear of default or to file a problem about finance servicing at -LRB-800-RRB- 455-2456 (TTY:1 -800 -964 -3013).
In January, Madigan submitted a lawsuit against Navient and its precursor Sallie Mae for the firms’ persecution of student loan borrowers from beginning to complete – from stemming pupil loans to servicing those financings and also collecting on defaulted student fundings. More than 3,600 previous Westwood College pupils in Illinois obtained an average of even more than $4,200 in alleviation under the settlement, in enhancement to the possible federal lending relief called for by Madigan. Madigan was also the very first lawyer general in the nation to take action against trainee lending financial obligation alleviation frauds. These frauds target student loan customers who are determined for assistance to avoid failing on their lendings as well as finish up obtaining scammed right into paying cash that does not lower their debt. Madigan’s workplace runs a complimentary Pupil Loan Helpline to offer trainee debtors with sources concerning settlement options, staying clear of default or to file a complaint regarding funding maintenance at -LRB-800-RRB- 455-2456 (TTY:1 -800 -964 -3013).