Funders Planning Mounted Response to Debt Settlement Schemers

Debt settlement companies are still using their tricky tactics, according to Efraim Kandinov of Fundfi Merchant Funding. He says a large group of funders are currently strategizing a mounted response to activity he believes is illicit.

Fundfi’s lawyers have already begun to send out Cease and Desists to the companies that have been telling his clients to breach their contracts and stop paying. He says it has become such an issue, that merchants in other parts of the country have begun ignoring his calls because of his New York area code, which they now associate with this kind of scam.

“[The merchant] said,‘I’m having all these New York numbers specifically, call me and plead with me ‘why are you doing this to yourself? Stop paying. Don’t pay these guys, pay me a fee and I’ll take care of it.’”

”This merchant was smart enough to say, ‘hey, this sounds like a scam’ and gave me the rundown.”

According to Kandinov, his company is one of the many that merchants are being told not to pay, while there are other funders who the debt settlers instruct to keep paying.

“They’re specifically targeting certain funders,” said Kandinov. “Whether they’ve been sued before by other ones, or have agreements, I have no idea. However I’m starting to realize, they’re specially targeting certain companies.”