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Sued for Fraud – Federal Debt Assistance Association, LLC and Financial Document Assistance Administration, Inc. “FDAA”

FDAAThe CFPB alleges that FDAA’s so-called “debt validation” programs violated the law by falsely promising to eliminate consumers’ debts and improve their credit scores in exchange for thousands of dollars in advance fees.

The Consumer Financial Protection Bureau (CFPB) October 12, 2017 filed suit in federal court against Federal Debt Assistance Association, LLC., Financial Document Assistance Administration, Inc. “FDAA” and Clear Solutions, Inc. and their owners for falsely presenting FDAA as being affiliated with the federal government.

“FDAA and its owners lied to financially vulnerable consumers to line their pockets with cash,”

“Today’s lawsuit seeks to stop these deceptive practices, impose civil money penalties, and return to cheated consumers the fees they paid to these companies.” CFPB Director Richard Cordray.

Vincent Piccione, David Piccione, and Robert Pantoulis own or owned the FDAA companies and Clear Solutions.

The CFPB’s lawsuit alleges that the companies lied about having an affiliation with the federal government to lure financially vulnerable consumers into paying thousands of dollars in illegal advance fees.

  • CFPB alleges the following illegal practices:
    • Deceiving consumers about an affiliation with the federal government.
    • Deceiving consumers about the companies’ debt-relief and credit-repair services abilities.
    • Failing to make proper disclosures about not paying debts: FDAA  failed to disclose that not making payments may result in the consumer being sued by creditors or debt collectors and may increase the amount of money the consumer owes due to the accrual of fees and interest.
    • Taking illegal advance fees for debt-relief and credit-repair services.

    Click here for a copy of the complaint


The Consumer Financial Protection Bureau is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit consumerfinance.gov..

About the Author:

Diane L. DrainDiane L. Drain is a well known and respected Arizona bankruptcy attorney. She is an expert in both consumer bankruptcy and Arizona foreclosure. Since 1985 she has been a dedicated advocate for her clients and spokesperson for Arizona citizens. Diane is a retired professor of law teaching bankruptcy for more than 20 years. As a teacher she believes in offering everyone, not just her clients, advice about the Arizona bankruptcy laws. She is also a mentor to hundreds of Arizona attorneys.

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