Preferred Financial Solutions Inc., an Indianapolis-based debt settlement company, has paid $175,000 to West Virginia as part of a settlement with the state's attorney general involving its operations.
West Virginia Attorney General Darrell McGraw's office had alleged that the company wasn't registered to do business in West Virginia and charged customers more than the amount allowed by the state. The maximum charge is 2% of the amount consumers deposit for payment to creditors.
McGraw's office on Monday said the money will be used to compensate customers. The company also will settle current customers' debts without further charges, according to the settlement.
Preferred Financial Solutions Inc. also does business as Credit Card Relief Now.