I was declined for a Personal Loan from Peerform, which I only wanted to pay off a credit card to have it available again for emergencies and to reduce the Interest rate amount. An email of denial was sent to me, but said someone will call me with more options.
I assumed it would be some other type of loan. A person named Eduardo Serrano called saying he was from Peerform. Instead of a loan, he talked about Debt Consolidation, that he could negotiate all my credit cards into one payment for a lower amount. He said I would save almost a 3rd of my overall debt between them and the Fee wasn't really that much compared to what I will be saving.
I was interested enough to agree to someone coming to my home and explain the process, go over all the requirements and call each of my creditors to negotiate an amount. He also admitted he wasn't exactly from Peerform, but from a separate company I later found to be Anchor Law Firm. Eduardo called just prior to the person scheduled to meet me. He said the guy is a Notary to notarize the agreement and I could call him if there were any questions about it.
I just figured it was an additional credential to being an Agent for the company. When the Notary person showed up with papers he said I needed to sign, I asked what are they and to explain what they are about, since I was expecting someone to sit down and discuss options to take first. He told me he was only there to witness my signature and to notorize it, nothing more. He said I had 5 days to cancel the agreement if I wanted to.
I did not see any reason to sign it, since I want someone to sit down and explain it thoroughly to me, step by step. He left me the documents and after reading through them, found out it was from Anchor Law Firm and that I would have been waiving away any Consumer Rights about it. I also discovered that there were other fees involved that were never mentioned in phone conversations with Eduardo. There were around 35 pages to this agreement!
In the Agreement, all these companies are mentioned that take part in this: Anchor Law Firm (Eduardo Serrano from Peerform, then said he wasn't, but sent me email from Finance Solutions) Cross River Bank (more fees?) Global Client Solutions (more fees?) Fees: Retainer Fee Service Cost Legal Fees Banking fees Why on earth would I want to ruin my credit, loose the use of the credit cards I have currently in good standing and have very little left of what I would be saving, only to go towards paying fees to all these companies that are involved with handling my finances. I don't have any problems paying on what I owe now, never missed a payment and only applied for a loan because I wanted to pay off a credit card to have a safety net again. If I had signed, it would have ruined my credit and set me back further into debt because I would not be able to get credit again for a while. I feel sorry for anyone who puts trust into a guy showing up with an agreement to sign and then says you only have 5 days to cancel...by mail!
You know mail doesn't always get there in 5 days, so you are screwed if you didn't know what you were signing and its doubtful you would have 5 days to soak it all in and cancel in time if you realized you did make a mistake in signing! I don't believe any of these companies were looking out for my best interests, only their own. Any caring company would have told me I did't need to consolidate my debts and to just continue paying them off and try for a loan again later.
What bothers me most is they sent someone expecting me to just sign and question it later, knowing it might be too late to get out of it, especially with all the waivers of my Consumer Rights to fight it had it gone that way. This feels like a scam to trap you into an agreement you might not want, had someone taken the time to properly inform you of all the risks and your obligations to such a commitment.
Reason of review: Not as described.
Preferred solution: Properly inform client of all fees, waivers and the process of events before drawing an agreement to be signed.
I didn't like: Deceived into entrapment to sign without fully understanding.