Thank you for your question about your son's debt resolution program.
Unfortunately, I cannot comment on Nelson & Gray because I know nothing about this company. I recommend that you thoroughly read through any paper work they provided you when you signed up for the program. It sounds like they may be a debt settlement company.
Debt settlement companies, typically, do not make regular monthly payments to credit card companies. Generally speaking, it takes at least six months of one being past due before a creditor is willing to negotiate a reduction in the balance owed. I recommend that when someone is looking for a debt settlement company to help them that they select a settlement company that is a member of The Association of Settlement Companies (TASC).
TASC is a non-profit organization with the goal to "to bring professionals, legislators, and consumers together to promote good practice in the debt settlement industry," as stated on its home page. This organization was created in response to the lack of federal regulation of the standards and practices of the debt settlement / negotiation industry. Any debt settlement firm that seeks TASC membership must comply with standards that require members to provide consumers full disclosure of not only the pros of debt settlement, but also the cons.
TASC enforces these rules on members by performing audits. For example, TASC "mystery shops" its members. Mystery shopping is where TASC contacts a member and acts as a consumer. TASC grades the member on how it represents its services. Some debt settlement companies have been barred from TASC for failing to meet the requirements of proper disclosure not only on paper, but also on the telephone (which is the most common way consumers enroll).
There are different tiers to TASC membership. For instance, an accredited member is one that has had its company audited completely, which includes audit of at least two years of financial results.
TASC is highly involved in working with state legislators to promote regulation of the debt settlement industry in order help protect consumers from "fly by night" companies that are only concerned with making a short-term profit, and not resolving consumers' debts.
The second step to finding an effective debt settlement / resolution company is to determine if the company is an International Association of Professional Debt Arbitrators (IAPDA) member. The IAPDA requires that its members have their debt consultants and account executives pass a certification test that requires them to understand and communicate the pros and cons of debt settlement to their clients..
To learn more about how debt settlement programs work please read a recent article I wrote, Debt Reduction Companies.
Global Client Solutions
Global Client Solutions is a third party that moves money from a clients checking or savings account to the clients special purpose account, which in this case would be with Rocky Mountain Bank & Trust. This pertains to clients enrolled in some debt settlement programs. The funds accrue in the account with Rocky Mountain and once the client has reached a sufficient amount of funds and agreement has been reached to settle a debt the funds will be disbursed from this account to pay off the creditor.
Generally speaking, there is nothing one can do to stop a creditor from taking legal action against a consumer who has defaulted. I encourage you to speak with a licensed attorney in your state, should the creditors take legal action against your son.
I hope this information helps you Find. Learn & Save.