of Foreclosure Rescue and Loan Modification Scams
for Avoiding Mortgage Foreclosure Rescue and Loan Modification Scams Beware of Unethical Mortgage Foreclosure Rescue and Loan
A fairly new and dangerous threat has arisen for homeowners
who have fallen behind on their mortgage payments and may be at risk
of foreclosure – opportunistic
companies. They often refer to themselves as a “foreclosure consultant” or “mortgage
consultant,” and market themselves as a "foreclosure service", "foreclosure
rescue agency" or "loan modification company." They
count on homeowners being vulnerable and desperate.
These companies claim they can assist homeowners facing foreclosure
with options that allow them to keep their property, refinance
or modify an
existing mortgage, repair credit or help “buy more time.” In reality, these “options” are
intended to convince you to take the wrong steps so they can take your
money and possibly your home.
Remember the old saying, “If it’s
too good to be true, it probably is. ”
Be safe. It is important that you take action by contacting your mortgage
lender – or any legitimate financial counselor – to find real options to avoid foreclosure. A number of agencies provide free counseling
services to homeowners who are having trouble making ends meet (see the “Protect
Yourself and Resources Sections”). These agencies can help you explore
your options, which may range from modifying your loan to refinancing your
loan to selling your home and using any equity to start over.