But aren’t there at least three sides in a negotiation: creditor/collector Morgan Drexen/Attorney and Consumer? So which two of that cadre is best represented in this arrangement? Morgan Drexen states in a testimonial in their preferred creditors program video that the preferred creditor program offers represent the best interests of both sides of negotiation. They provide the standard language to be used, they get paid first, and they determine the guaranteed settlement percentage.Īnd if individual attorneys are calling the shots then how is Morgan Drexen telling creditors and collectors they will be able to have their accounts settled at a guaranteed percentage? Now keep in mind in court documents Morgan Drexen says, “There are also differences among the attorneys Morgan Drexen supports with respect to client engagement terms and the application of the preferred creditor program.” But to creditors and collectors it sure looks like the creditors and collectors call the shots. Payments to preferred creditor program participants will receive preferential treatment and be paid ahead of non-preferred creditors. They even have a video that promotes their program which you can watch here. Payments are sent overnight within 5 days of approved offers.” – Source When your accounts are ready to be settled, attorney offers are generated and automatically sent to you for approval.
After setting up your Preferred Creditor account ID, your accounts will be flagged in attorney databases nationwide and our systems will check the status of funds for you every day. They also say, “The Preferred Creditor Program (PCP) makes it simple for you to collect funds more efficiently, with no added expense and less effort.
If so, pending the review and acceptance of the attorneys and their clients, the creditor or collection agency will settle the debt at the agreed upon preferred rate.”
The department performs a weekly update with the preferred creditor to determine whether or not the creditor or collection agency is collecting on a debt owed by the clients of attorneys supported by Morgan Drexen. “ Preferred Creditors: The Preferred Creditors Department is responsible for communicating with creditors who participate in the attorneys’ Preferred Creditor Program. Here is what Morgan Drexen has to say about their Preferred Creditor Program. That’s a nice thought but the facts don’t seem to support that position. One commenter said they thought the Morgan Drexen Preferred Creditor Program staff was commission based as determined on how much money they could save the consumer. If not, then an industry wide problem may exist here. You can read that article, here.Īt least one commenter mentioned Morgan Drexen is not the only company to have such a program. Last week new information in the lawsuit between Morgan Drexen and the CFPB brought to light a commission compensated department called the Preferred Creditor Program. What Morgan Drexen Says About Their Own Program.So Here is The Issue I’d Like for You to Ponder and Comment About.Here is a Summary of What Morgan Drexen Has to Say.The Morgan Drexen Preferred Creditor Program and Debt Buyers.