Apply 2 Save owner banned from business

The owner of Apply 2 Save, a bankrupt Coeur d’Alene mortgage modification company, that allegedly defrauded hundreds of consumers nationwide is prohibited from ever operating a similar business in Idaho, Attorney General Lawrence Wasden said today. 

Derek Oberholtzer entered a settlement agreement with Wasden’s office that prevents Oberholtzer from acting as a debt or credit counselor and prohibits him from engaging in mortgage lending, brokering, or modification activities within Idaho or with Idaho consumers.

“Apply 2 Save operated for less than a year, signed up hundreds of clients, and took in millions of dollars,” said Wasden.  “Yet few consumers ever received the mortgage modification services they purchased.”

Wasden sued Oberholtzer and Apply 2 Save in April 2009, alleging the defendants accepted payments from consumers for services that they never performed.

In addition to banning Oberholtzer from doing business in Idaho, he is prohibited from obtaining a license to engage in any activity that the Idaho Department of Finance regulates.  The settlement with Oberholtzer also incorporates the terms of the Federal Trade Commission’s consent decree with Apply 2 Save, Sleeping Giant Media, and Oberholtzer.

The Attorney General recovered $45,000 in restitution during his investigation of Apply 2 Save.  The office will distribute the money to consumers who filed complaints with the office in 2008 and 2009.  Consumers do not need to file new complaints or contact the office. Eligible consumers will receive restitution checks before the end of the year. Status updates regarding this settlement are available at www.ag.idaho.gov.

Apply 2 Save and Oberholtzer filed Chapter 7 bankruptcy soon after the state sued. Oberholtzer received a discharge of his debts in April. Apply 2 Save’s bankruptcy is ongoing.  For information about Apply 2 Save’s bankruptcy, consumers can call the court’s Voice Case Information System at 208-334-9386.  If consumers have legal questions about bankruptcy, they should contact a private attorney.  Neither the Atto