Illinois AG Sues Credit Repair Service

A credit repair service based in Venice, CA has been sued for allegedly “cramming” telephone customers in Illinois with unauthorized monthly charges.

The suit, filed last week by Illinois Attorney General Lisa Madigan, alleges that U.S. Credit Find Inc. and its owner Aaron Stanz victimized consumers, small businesses and local governments.

According to Madigan’s office, the company claimed to offer an online tutorial to help consumers repair their credit.

Several individuals complained that they had been hit on their telephone bills with an unauthorized monthly fee of $9.99, Madigan alleged.

In addition, the firm falsely told victims that the charges had been approved by someone authorized to place charges on the phone bill, the AG continued. The company told some that they had signed up on its Web site (www.uscreditfind.com), but the consumers denied having contact with the site, she added.

Also hit with unauthorized charges were the Sangamon County Coroner’s and Sheriff’s office, the Belleville Police Department, and the dial-a-story telephone line of a public library, Madigon charged.

“Our investigation shows that the defendants charged more than 9,000 consumers throughout Illinois since January 2008,” Madigan said in a statement. “The evidence establishes that the defendants billed consumers without receiving any kind of authorization for the monthly fees.”

Madigan seeks a permanent injunction barring the defendants from doing business in Illinois, restitution and civil penalties of $50,000 for violating the state’s Consumer Fraud Act, plus $50,000 for each violation committed with the intent to defraud, her office said.

Directory assistance did not have a listing for the firm in Venice, CA. A call to the company’s toll-free number had not been answered at deadline.