Detailed Account of the Experience with MCA Debt Advisors and Steve Sanchez
In July 2023, Mr. Hardware eCommerce LLC, of which I am the owner, was contacted by Steve Sanchez from MCA Debt Advisors, LLC. Steve informed me that my company had been a victim of excessive charges by the intermediaries who facilitated an initial loan with ItriaVentures LLC. He offered us their services to renegotiate our debt with ItriaVentures, promising a reduction in interest rates and an extension of the repayment period.
Promises and Assurances from MCA Debt Advisors
Steve Sanchez assured us that MCA Debt Advisors had a strong business relationship with ItriaVentures and could intervene on our behalf. He also mentioned that the external brokers who facilitated the initial loan had charged excessive commissions, which had significantly increased our debt. Steve promised that, due to their good relationship with ItriaVentures, they could reduce these charges and consequently our total debt.
Decision to Trust MCA Debt Advisors
Trusting these promises, we followed Steve Sanchez’s and MCA Debt Advisors' instructions, including stopping payments to ItriaVentures to allow for renegotiations. We signed a contract with MCA Debt Advisors under the premise that there would be no initial costs and that their fees would be covered by the savings obtained from the debt reduction.
Difficulties and Complications
After several months, no agreement was reached with ItriaVentures. During this time, MCA Debt Advisors withdrew over $11,000 from our account, of which only $3,600 was sent to ItriaVentures. The rest, according to MCA Debt Advisors, was used to cover costs and service fees, contradicting Steve Sanchez’s initial promises.
Consequences of MCA Debt Advisors' Actions
The application of the UCC-1 Lien by ItriaVentures resulted in the freezing of our main Amazon account, as well as PayPal and Square accounts, completely halting our business operations. Without the cash flow from our Amazon account, we were unable to maintain operations and consequently meet our financial obligations. Despite multiple requests for updates from MCA Debt Advisors, we only received empty assurances with no concrete results.
Impact on Our Business
The lack of results and the increase in our debt due to penalties for late payments led us to a critical financial situation. Our company was forced to seek desperate alternatives to generate income, including working additional hours doing Uber services, to cover even the minimum payments.
Call to Affected Businesses
Due to the poor management and broken promises of MCA Debt Advisors and Steve Sanchez, we are calling on other businesses harmed by their practices. We aim to structure a class action lawsuit against MCA Debt Advisors to seek justice and compensation for the damages caused.
Contact
If you or your business have been harmed by MCA Debt Advisors, please contact us:
Guillermo Scarpantonio
Phone: 786-296-3970
Email: gsq at mrhardwarestore.com