Q:

What is Global Client Solutions?

A:

Quick Answer

Global Client Solutions is a company that provides account management services to companies operating in the debt settlement industry. The company is based in Tulsa, Oklahoma and was founded in 2003. The company is not legally affiliated with any debt settlement companies, but instead serves a third-party payment processor function.

Continue Reading

Full Answer

Accounts managed under Global Client Solutions allow consumers to pay debts through funds saved in it. Claims by the company indicate that its platform separates the consumers from debt settlement companies. This setup supposedly grants consumers complete control over funds stored in the company's accounts.

On Aug. 25, 2014, Global Client Solutions was given an enforcement action by the Consumer Financial Protection Bureau. The CFPB claimed that the company had allegedly help other companies to collect illegal upfront fees from consumers that numbered in the tens of millions of dollars. These fees allegedly did not go towards paying off consumer debt, but rather were advanced fees that is illegal under the Telemarketing Sales Rule.

The CFPB also filed a request with a federal district court that would force Global Client Solutions to halt any activities that are deemed illegal. The company would also be liable to a $6 million relief payment for consumers in addition to a $1 million civil penalty.

Learn more about Business Resources

Related Questions

Explore