BBB National Programs Archive
No More Mortgage Participates In ERSP Forum
New York, NY – May 1, 2008 – The Electronic Retailing Self-Regulation Program (ERSP) has recommended that certain advertising claims for the No More Mortgage Debt Elimination Program be modified or discontinued. ERSP did find the company could support a general performance claim for the No More Mortgage program.
ERSP, the electronic direct-response industry’s self-regulatory forum, is administered by the Council of Better Business Bureaus (CBBB) with policy oversight by the National Advertising Review Council (NARC). The marketer’s advertising came to the attention of ERSP through ERSP’s ongoing monitoring program.
ERSP reviewed claims in online advertising for No More Mortgage (which contained a streaming video broadcast advertisement). Claims at issue in the ERSP inquiry included:
- “Unlike these debt reduction programs that can only help you with your credit card debt we actually eliminate all of your debt. Your car loans, these student loans if you have them. We can literally have everything paid off including your mortgage in as little as 9 years with out any increase in your payments.”
- “With No More Mortgage there is no risk to your credit whatsoever.”
- “Don’t spend a penny more. 75% actually able to lower monthly payments.”
- “Our typical client saves anywhere from 15 to 20 or more years of having to make payments.”
- “And they typically save from $20,000 to over $100,000 of interest in the process.”
- “We don’t consolidate your debt, we eliminate it.”
- “I can confidently state that no other program even comes close to our current client success rate.”
ERSP recommended that the marketer clearly disclose factors that may affect potential user’s individual result, including pre-payment penalties from lenders. Further, ERSP recommended the marketer refrain from expressing specific savings amounts and the specific time period in which loans have been paid off.
ERSP determined that the claim “With No More Mortgage there is no risk to your credit whatsoever” should be discontinued in its advertised context.
ERSP determined the claim “we don’t consolidate your debt, we eliminate it” to be reasonably supported. The company, in its marketer’s statement, said “… we appreciate the time that the Council took to gain an understanding of our programs and our claims. We accept their recommendations to modify our advertising and hereby agree to make such modifications.”