Homeowner Warning: “Typically, the scam started with a flyer sent to the homeowner and many of these mailers look as if they may come from their lender or even the government. But, they are coming from scammers.” Or you get a phone call from a telemarketer offering a Government Program that will lower your mortgage amount, interest rate or both.
Most of these companies are ex mortgage brokers, loan officers and real estate agents. I get sick when I think of them taking money from struggling homeowners that can benefit from legitimate loan modification services.
The truth is you should not go it alone and you should not use anyone but a Law Firm to negotiate with your lender. Not all loan modification
companies are run by crooks but it is an epidemic of late and something must be done to warn the un suspecting homeowners before they lose their hard earned money. Again, DO NOT use a Loan Modification company or presumed Governmental Agency. ONLY use a Law Office with an Attorney that will offer you legal representation and place his license on the line should he not do his job.
What is the hottest business since subprime lending and over priced homes bought with stated unaffordable loans, known as “liar’s loans”? Answer: Loan Modifications!!!! Everyone from the mortgage business is doing it. Well, almost everyone.
I don’t think there is one mortgage professional or real estate professional that is not performing loan modifications, short sales and even bankruptcy’s. Some legally, but most illegally and many have absolutely no idea what they are doing and it’s not about helping people, it’s making matters worse. The truths is when you are in trouble or have to go up against the Lender that approved the bad loan you need an Attorney in your corner.
The struggling homeowners are their victims.
“Loan-modification scams are becoming more and more prevalent across the country, particularly in California,” Brown said. “California homeowners should be aware of the warning signs of foreclosure scams, so they don’t fall victim to these cynical schemes.”
They went from selling you toxic loans and cancerous homes to helping you fix the defective products for which they have sold you. It’s like hiring an ex con convicted of fraud to come in and do your books. Crazy as it sounds why would you let a mortgage professional who now has become a “loan modification specialist” or a “expert foreclosure consultant” negotiate your life savings, your home. Please don’t go there. When you are in trouble seek legal advice and if need be hire an attorney that is experienced in this specialized field. Just this last week California Attorney General Brown and the California Department of Real Estate shut down and or arrested two loan modification companies operating illegally and there are several more on the list.
One company, “The Firm” in Rancho Cucamonga California was subject to a Fox 11 News investigative piece e and just days later, the Department of Real Estate shut them down. You can see the news clip on this site.” It’ appalling how these scammers took advantage of desperate homeowners and ripped them off for thousands of dollars,” California Attorney General Edmund G. Brown Jr. said. “Our campaign against mortgage scams masquerading as foreclosure assistance will continue and even intensify. Some companies are even using names that try to mislead you into thinking they’re a Law Firm or mentioning “in house attorneys” to mislead homeowners and gain credibility.
In addition when hiring an Attorney make sure he’s not a fly by night or Craig’s List Lawyer. Use an Attorney from an accredited law school who has been practicing law for at least 20 years. This way you know you get the real deal and are hiring someone with years of experience and an earned reputation.