Consumer Debt Initiative Scam

Consumer Debt Initiative or Consumer Debt Relief Initiative is a debt negotiation and credit-debt consolidation company. The information that is available on their website is outdated. It states that consumers may be able to modify their mortgage payments because of several new programs that will expire December of 2008 along with an explanation of the HR 5140 Economic Stimulus Act of 2008.


According to the Better Business Bureau (BBB), Consumer Debt Initiative is also known as Consumer Debt Relief Initiative, Federal Debt Reduction Initiative, and Federal Debt Relief Program. Their address is P.O. Box 96503, #10680, Washington DC 20090, and their complaint contact is Mr. Andres Miller. They have the following additional addresses:


P.O. Box 96503, #182080, Washington, DC 20090,

P.O. Box 96503, #21555, Washington, DC 20090,

1711 M Street, N.W., #221, Washington, DC 20036,


and the following phone numbers:


(866) 721-1890, 3769


(888) 650-2848,

(888) 783-3417,

(888) 800-0515.


The Better Business Bureau rates businesses from A+ to F and has given Consumer Debt Initiative or National Debt Relief Initiative an F rating. The Better Business Bureau explains that the reasons for this rating are:


General concerns that they have with this industry, Unable to determine when this company actually began operation,
Not enough background information on this business,
The company has not responded to complaints filed against them.

Consumers have contacted the BBB because Consumer Debt Relief contacted them asking for personal information such as bank accounts and social security numbers. The BBB advises against giving out any information to companies that contact you unsolicited.


The BBB opened a file on Consumer Debt Relief on April 2, 2009, but they are unsure when the company actually began operation. This company has had two complaints filed against them in the last year: one for selling practices and one for advertising problems. They have failed to respond to both complaints.


The company’s website has what looks like a government seal on it, falsely giving the impression that they are affiliated with the U.S. government. They also state through a new “initiative” consumer may be eligible to modify existing mortgages. They reference the HR 5140 Economic Stimulus Act and include a link to a site called govtrack.us. However, the govtrack.us website urges consumers to contact their lenders and has a disclaimer denying any connection to places that are contacting people with a link to their website.


It is difficult to find too much information on this company because it appears that they change names quite frequently. They may have many satisfied customers, but there are no posts available making such claims. There are several postings on Internet complaint boards regarding Consumer Debt posing as a government agency and trying to pressure them into signing up before the alleged deadline, as well as their immediate requests for personal information. The Fair Debt Collection Practices Act (FDCPA) prohibits collection companies from falsely claiming to be associated with the government.