MINNEAPOLIS (WCCO) -- There are new questions about why a Minnesota credit-repair company got a fresh start, when it could be facing more money trouble.
In a WCCO investigation last year, customers said they didn't get what they paid for at United Credit Consultants and former workers said they weren't paid at all. Federal and state investigators then raided the company in Burnsville. Its owner later opened a new business with a new name in the very same building.
But as WCCO found, the company that claims to improve your credit score is struggling to pay its own bills, again.
Mike Reeves saw the news stories.
"Every other person in my ear said, 'Don't,'" he said.
Despite peoples' warnings, Reeves decided to do business with Joe McGlynn, the founder of United Credit Consultants.
"I went to school with him. I've known Joe since junior high," Reeves said.
For three months this past spring and summer, Reeves printed new banners, magazines, and business cards for McGlynn, as United Credit Consultants became CreditServices.com. But by early August, Reeves says he was only paid a few hundred dollars and still owed thousands.
"Invoice-wise, probably over $6,000," he said.
Reeves' patience had run out when he pulled up to an empty building.
"Showing up to the Burnsville place and everything is gone," he said. "There couldn't be a bigger red flag."
CreditServices.com had relocated inside Gaviidae Common in downtown Minneapolis. Its doors were open and Reeves' marketing materials on full display Wednesday. We were told McGlynn was in meetings all day.
In recent court filings, WCCO found more claims of unpaid bills. An advertising company owed more than $20,000, unpaid rent and loans.
"It's kind of a snub -- whoever is letting him go by -- because he just flipped them off again," Reeves said. "[He could say] 'Look, you just allowed me to do this again and hurt more people."
The Department of Commerce revoked McGlynn's credit service and debt settlement license in April under his old business name, but did issue CreditServices.com a new license the month before.
After months of waiting, Mike Reeves doubts he'll ever see the money he's owed again.
The commerce department says licenses are given to businesses, not individuals. It wouldn't say where its investigation of McGlynn's former company stands, or whether it's investigating his new one.
The state has fined McGlynn, but he has not been charged with doing anything wrong.
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