FTC Shuts Down Financial Education Services for Defrauding $213M from Consumers


In reality, the company is operating a pyramid scheme based on its compensation structure and its emphasis on the importance of recruiting new agents. Many consumers who joined the scheme failed to make the promised income. They actually lose money as agents, according to the FTC.

In a statement, FTC Bureau of Consumer Protection Director Samuel Levine said, “These defendants collected millions in junk fees as part of a pyramid scheme that peddled phony credit repair products.”

“We are pleased that the court shut down this operation and froze its assets, and we will continue to pursue firms that prey on families’ economic pain,” he added.