FAYETTEVILLE, N.C. — Attorney General Roy Cooper said a Fayetteville company misrepresented its services and charged illegal fees to people who wanted to get out of debt, and he has ordered it to stop.
A Superior Court judge approved Cooper's request Monday concerning Knight Credit Services, Inc. and Knight Credit Counseling Services of Fayetteville and Lumberton.
"People turned to this company because they needed help paying bills and making ends meet," said Cooper. "But they wound up deeper in debt because this so-called credit counselor charged hefty fees."
Cooper said the company must quit deceiving its customers and engaging in illegal debt adjusting, credit repair services and loan brokering.
Knight is also prohibited from collecting any money from North Carolina consumers for these services and is required to turn over business records to the Attorney General's Office within three days. In addition to this preliminary injunction, Cooper is seeking a permanent ban on Knight's services as well as cancellation of all contracts with North Carolina consumers, refunds and civil penalties.
A total of 41 consumers complained to Cooper's office about Knight. Knight's clients include soldiers stationed at Fort Bragg and Pope Air Force Base and their families.