Attorney General James Delivers Relief to Student Loan Borrowers as New Yorkers Continue to Struggle Financially from Coronavirus

Posted to Applied Web NY on Fri, 05/22/2020 - 12:07

NEW YORK – New York Attorney General Letitia James today announced a settlement that stops fraudulent student debt relief practices by a ring of five New York-based defendants. The settlement provides a measure of financial relief to deceived New York student loan borrowers they deceived, as New Yorkers and individuals across the nation continue to suffer from the economic fallout of the coronavirus disease 2019 (COVID-19) public health crisis. Stemming from a lawsuit originally filed in September 2018, Attorney General James filed a proposed consent judgment for $5.5 million against three New York-based student loan debt relief companies — Debt Resolve, Inc.; Student Loan Care, LLC; and Progress Advocates, LLC — and two of the companies’ executive officers, Bruce Bellmare and Stanley Freimuth — for their part in running a student loan debt relief scam that cheated thousands of New York student loan borrowers out of millions of dollars.

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