ComplaintsforLee Arnold System of Real Estate Investing

• Initial Complaint

  08/10/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  I received a text message from **** from *** Arnold REI and ************ on 7/18/22 while looking for a private investor loan. He said he had some things he would like to go over with me and wanted to put me on his schedule. I told him I had a property under contract and had already ask for an extension on. I gave him the address of the property, he said he could see it. I told him how much I offered and what it was worth and that there were no needed repairs. He said it looks like a deal they could help with. He told me if I was to join ***** inner circle, I could get it for nothing down. The cost to join was $25k. The other way I would have to put $56k for a down payment. I asked him, by putting the $25k down I would be able to get the loan of $250k for this place. He assured me that was the case. I would have to do 4 other deals with them through the inner circle. But this was to be one of the 4 deals. I paid him $5k deposit and told him I would need a couple days to get the rest of the money. When we talked again, I told him I was having second thoughts and he assured me again that I would get this property. He even put me on hold as he said he was going to go ask someone else. He came back and said yes that we could do this. So, I had the wire transfer of $20k sent. It didn't get there until the 22nd. 4 days after the first payment. He connected me to *********** who was the underwriter. While talking with *********** he told me I needed another $56k. I was *****. I tried to call ****. I text him and no response. Finally, 2 days later **** called me and said he didn't know why *********** told me that. I told him I wanted my money back. He said let me get this straighten out for you. You won't need the $56k extra. I asked for a refund. He said good luck with that. I called his manager and told him. He said he will have his compliance team look over the recordings. He said the first part he didn't see anything. It's been 2 weeks and have not heard anything

  Business response

  10/28/2022

  As you experienced on July 19, 2022, Lee Arnold System of Real Estate Investing, has a very specific Compliance procedure before clients invest in our top-level courses.Our Complaince script is closely followed on each call and explains in detail the components of the investment, the terms of the investment and our longstanding return policy.  In your call (and in the Training Agreement you signed on July 21, 2021) the benefits of the course, in terms of the borrowing benefit was very specific:
  
  Graduates of Lees Inner Circle 2.0 training qualify for 100% financing (including purchase price, rehab costs, and closing costs) for purchasing non-owner occupied properties. This benefit applies
  to up to four (4) properties at a time which are purchased for less than or equal to 70%of the *** (After Repaired Value) of the property. All other criteria for borrowing from ************ applies.
  
  This borrowing benefit in no way guarantees the approval of any loan, any terms for any loan or repudiates the standard criteria for borrowing from ************. It is important to understand you invested in education alone and any borrowing benefit is a result of completing your educational program and not a result of the investment.
  
  In addition,you agreed to the statement in a recorded call (as well a signed the Fulfillment Training Agreement.) as follows:
  
  
  The Lee Arnold System of Real Estate Investing cannot predict or guarantee your success as a real estate investor, and only provides this training under those circumstances. Do you acknowledge that your success is dependent upon your own ability to implement the training you receive, and even then, your ability to earn back your investment in education or make a profit from it is
  never promised or guaranteed?
  
  Do you agree that no additional products or services, other than those just designated, were promised to you by Lee Arnold System of Real Estate Investing or its representatives, including additional coaching or mentorship or additional leads and opportunities, and that no income, earnings,or profit guarantees were made to you as result of this investment?
  
  
  In reviewing the calls leading up to your investment, no promises or guarantees about lending, nor provision for a borrowing benefit prior to completion of education,were tendered to you and the Compliance call and the Fulfillment Training Agreement indicate you agreed to these specifications.
  
  
  Despite the fact that your previous application for a loan did not meet the required criteria for the event graduate borrowing benefits because you had not yet attended your program, we are anxious to fulfill the educational events to which you invested and help you move forward with real estate investments with the borrowing benefits. Please call our ************************* to reschedule your *** Inner Circle event and move forward with you real estate investing. ************
  Tell us why here...

  Customer response

  10/31/2022

   
  Complaint: 17697775
  
  I am rejecting this response because:

  I was told by the rep that I would only need the $25k for the down payment and then I was told I would need an additional $56k after the 3 days. The rep told me that he didn't know why they would say that. He also told me that I would be able to get this particular deal if I signed up. Then, I couldn't get a hold of him or the other rep for 3 days. It's all in the recorded calls. I specifically told the rep if I couldn't get this deal, I didn't want to go through with it. He had they would help and even help to extend the closing. I'm truly unhappy with this as I thought this was an upstanding company. It left a bad taste in my mouth. I have reached out several times and the calls are all recorded. No one ever gets back with me. I'll not recommend them to anyone. I would like my refund as this was not how it was told to me. I have texts from the same rep.  

  
  Sincerely,
  
  *****************************

• Initial Complaint

  04/27/2022

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  Yes i bought some products from this ***. Arnold and they will not let me return my. Product they say I can't return anything that was brought but the internet welllt thays the only way to buy anything and they didn't state that till after you bought something that was very deception in that and also you can't return anything after 3 days and no where was that statement made when making the purchase

  Business response

  05/06/2022

  Although your are required to commit to our 3-day return policy by checking a box prior to any online sale is processed, as a courtesy, we have waived that policy in this instance, to resolve this complaint. Please see the refunds recorded in the attached invoices and please allow 3 to 5 days for the funds to return to your payment accounts. 

• Initial Complaint

  04/15/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  On January 8th, 2022, I purchased the Lee Arnold 1on1 Coaching mentoring program for $29,997 from their ******************** Consultant, *********************. With this purchase, Mr. *********************** team was to send a coach to my residence for three days to install all the marketing systems needed and set up my private money brokering business locally. Additionally, this coach would schedule conference calls and work alongside me for 12 months while I developed the business. After not hearing from them to get a coach assigned, I sent a note via email requesting assistance with the coach assignment. I submitted further written communication on February 18th, March 2nd, March 9th, March 22th, March 24th, March 25th, April 1st, April 12th and my last communication with this company was on April 15th via phone call. I contacted their compliance department to no avail. They neglected to provide any part of the service they sold me in exchange for the $29,997, and on 4/15 told me they are REFUSING to issue a refund. They are basically KEEPING my money and told me so!!! This is blatant theft and taking advantage of hard working people. Lee Arnold and COGO Capital seem to be comfortable running a fraudulent business and scamming their customers.

  Business response

  04/25/2022

  We are sorry you unhappy about our return policy and that you feel our attempts at communication were insufficient.

  
  At the time or your investment, we reiterated our 3-day return policy for your investment.  Since your request for a return was outside that long standing policy, we are unable to return your investment.  This policy was further justified by your credit card provider when they decided your charge back dispute in our favor.

  
  Although you do not qualify for a return, we have been responsive to your request that your investment be moved to a differ program. You demonstrated interest, immediately after attending the Clever Crypto Certification Program, in our Crypto Currency Coaching Program and we are still willing to honor your request to move credit from your existing investment to that program.

  
  We pride ourselves in our contact with our clients and reviewing your account, we held to our high standards in actively reaching out to you to fulfill your program.  In reviewing our files, we have confirmed in the phone records and phone recordings that we called you many times to schedule for coaching and messages were left. Here are 12 separate instances - 1/20 2/1 2/14 2/18 - 2/21 3/7 3/24 3/30- 4/1 4/12 4/13 - 4/15.Please find our call records attached.  We are not sure where the breakdown in communication originated but our ********************* made many calls to schedule the appointment of your real estate mentor.

  
  Please feel free to contact me,*****************, Director Client Success, at **********************. I would like to discuss your account and accommodate your request to move to another one of our exciting programs.

  Customer response

  04/29/2022

   
  Complaint: 17048679
  
  I am rejecting this response because: On April 26th I spoke to *****************, Director Client Success, at ********************** and he stated my request to enroll in a different program would be sent to a committee for review. He was to let me know the outcome and I have not yet heard from him as of yet. 

  
  
  Sincerely,
  
  *********************

  Business response

  05/17/2022

  We have done our best to resolve your complaint.  As you requested, we have moved your investment in the One on One Mentorship in *********** to the Clever Crypto Investor Coaching  Program. We are attempting contact you for Fulfillment. 

  We have moved the remaining payments to the *** Inner Circle Program (a program you previously invested but later moved credits.)  We have applied a huge $19,997 discount to the ***** Inner Circle, to show you are paid in full. Our ********************** has been calling in an attempt to schedule you for the ***** Inner Circle Event, either by LiveSteam or live at our corporate headquarters. 

  We trust you will be satisfied by this very generous resolution, by providing you much more than you requested. I have included the invoice showing the program changes and that you are paid in full. 

  For questions and the fulfillment of your programs, please contact me, *****************, Director, Client Success at ********************** or by emailing *************************************.

   

• Initial Complaint

  03/23/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  11:25a Called ********************* at *** Arnolds. He never sent me the link for my exam. I requested a refund. Left a message at his extension 11:24am! I logged in online and could not find any place to take the exam.This Vendor so called coach and trainer and ********* based, only rips off the poor and get wealthy. But then he says the poor don't qualify for his elite training! I spent almost $4,000 with him but then I'm not good enough for him as a newbie. He's just about money! But then he discriminates with those who are on social security and are not experienced. After over 3 years not only have I lost my money, but then he wants more every time I go to his website! Now , he says is too late for refunds but then in three years he never delivered what he said he would; therefore, he's only into charging, complicating things without a clear path of direction! I just joined another program free and will be getting results in less than 4 weeks, parttime! But then he hypocritically claims to be ********* based! I then had to get up at 6:00 am to watch his sermons on Sunday! In addition, his emails are so many that His folder has over 100 emails!

  Business response

  04/14/2022

  
  I am sorry you have had a difficulty with our communications.  Immediately after I spoke to you on March 24, 2022, I sent the Certification Exam which you requested, sent to the email that I confirmed with you during our conversation.  Upon reviewing this Complaint on April 11,2022, I resent the exam and called you, leaving a message. I have called you subsequently to find an alternate way to get you your exam but my phone messages have not been returned. I have attached screen shots of your client record showing Notes and Emails sent. 

  
  Your request for the return of your already fulfilled investment was not approved because you request fell outside of our longstanding three business day return period and you had been completely fulfilled on your investments with us.

  
  Please feel contact me, *****************, Director, Client Success as soon as possible to help you engage with our programs in which you invested. Please contact me by phone at ********************* or by email at ************************************

  Customer response

  04/16/2022

   
  Complaint: 16933095
  
  I am rejecting this response because:

  First, *** Arnold and staff are experts at lying and portraying great earning by purchasing dozens of ***** programs.  However, *** Arnold teaches to not do business with senior citizens on Social Security and those with no experience!  While at the same time, they have no problems taking our money from us severely disabled seniors on Social Security and a set income from Survivors' Benefits!  He has taken $5,091, with so many programs that did not amount to any type of profits or earnings or any actual help, like they proclaim they would.  

  In addition, **** claims he has sent me the link to take the exam, but never didn't.  Finally, I opted out and requested all my refunds!  Yes, **** has left messages to call him, but that is all.  I even blocked them from my email address ************************ but did not help.  They just use someone else's name to email me.  Their marketing emails are so many sent to me on a daily basis.  I have dozens upon dozens of their emails in his folder.  In addition, then He sends me frequent emails indicating for us to get up ag 6am on Sundays to listen to his sermons.  He claims to be a ********* based real estate investor; however, he does not exercise what he preaches.  Also, he's now sending daily marketing emails to my Gmail at; **********************.  They are so unreal and don't bother them to take a senior's money I get from Social Security!  **** claims I received a link for an exam, but he's lying.  I wish they would stop bothering me and stop sending me emails!  *** Arnold has wasted so, so much of my time and then they rebuttal my complaints!  I will continue to file complaints online to alert others of their fraudulent business practices.  Besides, if they claim I have a contract with them, NOT!  A bilateral contract that is between two parties, both parties must be satisfied!  If one party is not satisfied, it makes the contract void and null.  I have pursued and filed complaints with my bank and will not stop, until *** Arnold stops ripping me off and makes good with what he needs to refund me! 
  
  Sincerely,
  
  ***********************

  Business response

  04/25/2022

  Unfortunately, your request that we do not contact you via phone or email makes it impossible for us to resolve your complaint. 

  
  I wish they would stop bothering me. . .  I even blocked them from my email address. . .

  
  Every attempt to provide you with the object of your complaint, a test for the Broker Certification Program, has been thwarted by your blocking of your email and refusal to answer or return phone calls seeking an avenue to send you the exam.  The exam is link in an email thus we are not able to get it to you.  The majority of our courses and ancillaries are provided online, with the login sent via email. 

  Please give me , *****************, a call at my direct line ************, because we are quite anxious and very open to helping you resolve your complaint.

  Customer response

  04/28/2022

   
  Complaint: 16933095
  
  I am rejecting this response because:

  I'm still getting emails from *** Arnold every day at my gmail.  If I block an email, they still find another way to contact me by using another name.  Good think I requested cancellations and refunds.  These so-called ********* based ministry and business is totally fraudulent and discriminate on seniors but still take the money and want to hang on to it no matter what!  Yes, also get voice mails.  Why would I want to communicate directly with a gang of fraudsters?  They just lie, lie, lie and take advantage and practice one-sided business practices.  Why would I want to speak to them after being deceived, discriminated on and defrauded!  On a Bilateral contract, when one side is not satisfied the contract becomes void and null.  Therefore, I would be in danger associating with them and in danger of losing my money.
  
  Sincerely,
  
  ***********************

• Initial Complaint

  01/15/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  I spent over $20,000 investing in *** Arnold system. I went to ***** to take the courses and learn first hand from *** Arnold and his team. I was very disappointed in how things went. They promised me that we would get 100% funding, 100% closing costs. They kept drilling in our head all the benefits of using their lending company ************. I presented the company with several offers and they rejected them. I presented one I wanted to buy. The house was $9,000. The Closing cost and all the fees came to $16,000 to bring to the table. I was told NO MONEY DOWN NO CLOSING. Well $16,000 does not look like $0. I invested in *****.Pro for $2,997 and that was a complete waste of money. Every time you did anything, it took more money out of your account. I asked for help from several different people. ***** ****** ******, and ****. Sent several emails, text messages, and phone call voice mails. NEVER did I get a call back. Once they had our money they ghosted us. I would like restitution of $20,000 back to me. This company is a scam. And based on their BBB rating of F confirms my opinion. once I realized that I needed to file a complaint, I ended up having server heart issues. I had triple By-pass surgery August 24, 2021. I was told in July I need to stay at home, no stress, nothing that would get my blood pressure up for I was a ticking time bomb for a heart attack.

  Business response

  04/14/2022

  We are disappointed that your interaction with ************ and Lee Arnold System of real Estate Investing has left you dissatisfied. We stand by the value of our programs and do our best to help you succeed in Real Estate.

  
  Our elite lending program for students, who have successfully completed our top-level education programs,is outlined below and was reiterated to you at the point of investment to the program.
  

  Graduates of Lees Inner Circle 3.0 training qualify for 100% financing (including purchase price, rehab costs, and closing costs) for purchasing non-owner occupied properties. This benefit applies to up to four (4) properties at a time which are purchased for less than or equal to 70% of the *** (After Repaired Value) of the property. All other criteria for borrowing from ************ applies.

  
  Although successful students qualify for up to 100% financing at ************, the total loan amount of cannot exceed 70% of the after repaired value of the property as determined by a professional evaluation. If the loan request, including purchase price, rehab cost and closing cost, exceed the 70% cap, in order for the loan to proceed, the client will need to bring the difference between the amounts in cash at closing.  We are dedicated to working with our client to find real estate deals that fit this lending criteria, so you can take full advantage of the financing benefits.

  
  We are also disappointed that you do not see the value of Dealio.pro, our powerful online real estate investing management and marketing tool like thousands of our clients do.  Dealio.pro provides all the tools you need to find good real estate investment deal. The only additional costs associated with the program is the cost of mailing letter to potential sellers.

  
  We are sorry you had difficulty contacting certain members of our team, but in reviewing your profile in our data base and phone records show you had scores of contacts with our team members after your investment into programs.Please understand that our *** Arnold System education personnel do not manage our lending programs and the ************ lending personnel do not manage our real estate education programs. We are sorry if we did not make those distinctions clear to you.

  
  We are dedicated to helping you move forward in real estate investing and that you successful without any undue stress on your health. Please feel free to contact me, *****************, Director, Client Success to help you engage with our programs and lending. We will be happy to provide refreshers and recordings of your education, support and renewal of your Dealio.pro as well as help guide through the loan process. Please contact me by  phone at ********************* or by email at *******************************.

  Customer response

  04/14/2022

   
  Complaint: 16472765
  
  I am rejecting this response because: I was not provided with any compensation for the false information I was presented at the classes. The deals we sent to you were not 100% finance. How can you say that when I needed to bring $16,0000 to a closing on a house that only cost $10,000
  
  Sincerely,
  
  *********************

  Business response

  04/19/2022

  One of the requirements to receive the Elite Borrower's benefits of our programs is to submit a loan Application to ************ and remit the application fee. Our records do not show any loan applications or paid application fees, under your name, email, phone or address, after the completion of your program.   Without an active loan application,  there would be no way for the loan officer apply your lending benefits.  Since only students who complete our programs are eligible for the Elite Borrower's benefits, any loans you submitted for someone else, as a broker, would not be eligible. I am not sure how you arrived at the loan information you 

  Our records show you are still eligible for the Elite Borrower's benefits that you earned by completing your educational program and we encourage you to submit a loan application once you have a property under a purchase and sale agreement. Please contact ************ at ************** and let a Loan Analyst know you qualify for the Elite Borrower's benefits. If you have addition questions please contact me, *****************, Director of Client Success at ********************** or at ************************************. 

  Customer response

  04/22/2022

   
  Complaint: 16472765
  
  I am rejecting this response because:this business is a scam. 
  
  Sincerely,
  
  *********************

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩