The Federal Trade Commission obtained a temporary restraining order on April 13 against NERD Solutions Inc., ED REF Inc., and their operators, Natalie Rodriguez and Pablo Ortiz, over allegations of operating a fraudulent student loan debt relief scheme.
The case is significant because it addresses concerns about scams targeting individuals seeking help with student loan debt. The FTC alleges that the defendants pretended to be affiliated with the U.S. Department of Education or legitimate loan servicers and promised non-existent student loan debt relief in exchange for illegal upfront fees.
According to the complaint, since at least February 2022, the defendants marketed their services by cold calling consumers—including thousands listed on the National Do Not Call registry—and falsely claiming official affiliations. The FTC said these actions led consumers already struggling with student loans to pay upfront monthly fees as high as $1,400. The agency also stated that at least $8.8 million was collected from affected consumers.
The complaint charges violations of several laws including the FTC Act, Telemarketing Sales Rule, Impersonation Rule, and Gramm-Leach-Bliley Act. The Ohio Office of the Attorney General provided substantial assistance in the investigation. The Commission's vote to file the complaint was unanimous at 2-0.
A note from the FTC clarified that complaints are filed when there is "reason to believe" that defendants are violating or about to violate laws and when such action appears in the public interest; final decisions will be made by the court.
The broader implications of this case highlight ongoing efforts by federal agencies to protect consumers from deceptive practices related to financial aid and debt relief.
