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- How debt settlement companies break the law and what you can do about it. Hi, this is consumer protection attorney Bill Clanton. Ive helped hundreds of consumers deal with debt collection harassment, inaccurate credit reporting and other consumer-related matters. In this video, Im talking about debt settlement companies and how they break the law. So debt settlement companies use your credit information to figure out who you are or who may need their services, and then they market to you now. Using promotional information from credit bureaus is limited to very particular circumstances. An offer, a firm offer of credit can be made, and thats when credit card companies pull your credit information to send out firm offers of credit to get a credit card. Debt settlement is not a firm offer of credit. These debt settlement companies have tried to circumvent this by sending out fake checks. Have you ever received a fake check in the mail? Well, then you call the number, and all of a su