Thursday, July 12, 2018

Southeast Financial CU Settles with Massachusetts over Financing Fraudulent Academic Services

Southeast Financial Credit Union (Franklin, TN) will provide $650,000 in loan relief and cash refunds to more than 500 Massachusetts students, according to Massachusetts Attorney General Maura Healey.

Southeast Financial Credit Union will discharge approximately $450,000 in loans made to Massachusetts students of The College Network, a for-profit company that marketed online study guides and educational services to consumers, including many prospective nurses. The credit union will also provide almost $200,000 in cash refunds to students.

As part of the settlement agreement, Southeast Financial Credit Union will request the removal of negative loan information from the consumers’ credit reports.

The complaint by the Attorney General's Office alleged that between January 2010 and May 2016, The College Network misled consumers by representing that its educational materials would help them achieve passing scores on equivalency exams and earn college credit in fields such as nursing and healthcare administration.

Attorney General Healey stated: “The College Network cheated hundreds of Massachusetts consumers by making false promises about their online educational materials and services. This settlement holds the lender accountable for profiting from this scheme."

This is the second settlement by Southeast Financial Credit Union regarding its financing loans for The College Network. Earlier this year, Southeast Financial settled with New York issuing a refund of $2.25 million.

In related news, We Florida Financial Credit Union (Margate, FL) provided $898,000 in relief to more than 200 Massachusetts students for financing expensive and ineffective online study materials and educational services from The College Network.

As part of the April settlement agreement, the credit union discharged $748,000 in loans and would provide $150,000 in refunds to students. The credit union will also request the removal of negative loan information from the consumers' credit report.

Read the press release.


  1. Who at the credit union approved the rape, pillage and plunder of these college students? Who at the credit union authorized this scam? Who at the credit union authorized the shake-down? Claw back the bonuses and fire the sneaky dirty rats for preying off the misfortune of others. Where is the damn NCUA work prohibition order on these pseudo-intellectual credit union executives? This scam was not from the teller line. Management at high levels created this fraud. Fire the bastards. Fired the board of directors for approving the scam. Fire the supervisory committee for failing to stop the fraud. Once the credit union is the defendant they cave in as the fraud is exposed to the world to see. Exposed to the light they run away like cock-roaches & the credit union gets hosed with the fine. File fraud charges against the entire gang of dirty rat bastards that put the scam in place and pimped the students for personal financial gain.

  2. I need help! I am a Tennessee resident that was ripped off by The College Network.I was not aware of the lawsuits against them until now.They got a judgement against me in 2010 for the money they said I owe them, which is a sham as the lawsuits have stated. I never heard anymore from them until I went to buy my first home just last month. We are days away from closing and the title company finds a lien on me registered with the county deeds office.It is for that so called "loan" from Southern Financial Credit Union for the College Network. That is the company it originated from anyhow. Now my home loan wont go through until this judgement is gone! I have tried to contact attorneys, the law firm seeking the judgement, everyone,no one is willing to help me. I called the attorney Generals Office. They tell me the case against Southern Financial has not been brought at this time for Tennessee. I don't know where else to turn.I'm going to lose my prospective forever home my family and I have already been packing for.I'm at a loss and I'm desperate for some one to tell me what to do.

  3. You should contact the Tennessee Department of Financial Institutions.



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