Debt relief callers posing as your bank or a government agency

The Scam

According to the FTC, operators of an alleged debt relief scheme targeted seniors and veterans by pretending to be banks, credit card companies and government agencies. The FTC's complaint alleged they reached people through telemarketing calls and through inbound calls generated by direct-mail and online ads, falsely claimed they could cut consumers' debt by as much as 75% or more, and collected illegal advance fees. On Oct. 14, 2026, at the FTC's request, a federal court entered a $106.8 million default judgment against the corporate defendants (Accelerated Debt Settlement Inc., ADS Resolve LLC, Financial Solutions Group LLC, Unified Capital Services LLC, Mediwerks, Resolution Specialists LLC and Futura Capital) and banned them from the debt relief industry, telemarketing and impersonating any government entity, business or person. Three individual defendants agreed to stipulated orders with the same bans in March 2026.

The Targets

People carrying credit card or other debt, especially seniors and veterans, according to the FTC.

Red flags

• A caller or mailer claims to be your bank, credit card company or a government agency offering to reduce your debt
• A promise to cut your debt by 75% or more
• A demand for fees before any of your debt has actually been settled or reduced
• An unsolicited telemarketing call about debt relief, or an ad or mailer telling you to call a number

Your Move

• Don't pay upfront fees for debt relief. The FTC alleged these operators collected illegal advance fees
• If a call or letter says it's from your bank, card company or a government agency, hang up and contact them using the number on your statement, card or the agency's official website
• Read the FTC's advice on avoiding credit card and other debt relief scams at consumer.ftc.gov before signing up with any debt relief company
• Report debt relief scams to the FTC at ReportFraud.ftc.gov

More steps for any scam link: I clicked a scam link. What now?

Still circulating?

The FTC announced the court's permanent ban on Oct. 22, 2026 and said it will keep taking action against impersonation and illegal debt relief schemes.