Outfit Peddling Loan Principal Reduction Services Settles Civil Charges With Arizona AG

From the Office of the Arizona Attorney General:

• Attorney General Tom Horne [] announced a settlement agreement with Scottsdale based Principal Reduction Group, LLC, and Brian Cutright, owner and operations manager of Principal Reduction Group, LLC.
• Pursuant to the settlement agreement, Principal Reduction Group and Brian Cutright agree to no longer engage in any activity, directly or on behalf of any third party, that involves originating, closing, or modifying any term of a consumer’s mortgage loan, or obtaining a reduction on a consumer’s debt, of any kind, while in the State of Arizona or on behalf of any Arizona consumer. [...] Additionally, the settlement agreement provides for full restitution to the consumers who filed complaints with this office; on average, those consumers paid $5,500 each for principal reduction services from the Defendants.
• Finally, the settlement agreement requires the Defendants to pay $25,000 as civil penalties and $5,000 for attorneys costs and fees. The Attorney General shall deposit the funds into the consumer protection-consumer fraud revolving fund. This settlement agreement is pursuant to a consent judgment currently awaiting court approval.

For the Arizona AG press release, see Attorney General Tom Horne Announces Settlement Agreement With Principal Reduction Group, LLC.