Attorney general files lawsuit against credit repair company

Attorney general files lawsuit against credit repair company

LITTLE ROCK, AR (KAIT) - A company that claims to offer credit repair services has been sued by the Arkansas Attorney General.

According to a news release from Attorney General Leslie Rutledge's office, she has filed a lawsuit against Capital Credit Solutions in Florida and Willie J. McKenzie.

Rutledge claims the company has offered "misleading" services to Arkansans in order to repair their credit rating.

"Capital Credit Solutions is in violation of the Federal Credit Repair Organizations Act, Arkansas Deceptive Trade Practices Act and the Arkansas Credit Services Organizations Act," the news release stated.

Rutledge said by law, companies cannot legally remove accurate but negative items from a credit report.

"When Arkansans are seeking to improve their credit, they are seeking real solutions, not bogus and disingenuous tactics," Rutledge stated. "The only real path to improve bad credit is time and diligent attention to eliminating credit balances. Arkansans should not be subjected to the illegal business practices of the defendants."

Rutledge has asked the U.S. District Court Eastern District of Arkansas to impose penalties and offer restitution to customers. Arkansans can file a complaint to the attorney general's office by calling (800) 482-8982.

Rutledge said Capital Credit Solutions offers credit repair services, however, they cannot claim to improve credit by disputing or eliminating negative but accurate items on a credit history.

Rutledge also claimed the business has promoted their services by placing signs with unapproved language in unapproved locations.

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