Are you struggling to make your mortgage payments?
Caution: Beware of Loan Modification Scams
Scam artists across the country are preying on homeowners who are facing foreclosure or seeking a loan modification. Anyone can be a victim – but you don’t have to be.
The red flags include people or companies that:
· Ask for fees in advance
· Guarantee they can stop a foreclosure or get your loan modified
· Tell you to stop paying your mortgage company and pay them instead
· Pressure you to sign paperwork you haven't had a chance to read thoroughly and that you don't fully understand
· Claim they're offering "government-approved" or "official government" loan modifications
· Ask you to release financial information online or over the phone, even though you've never heard of them
For loan modification guidance from a HUD-approved counseling agency or to report a scam, call 888 995-HOPE or click here.
About the campaign
Loan modification scams are proliferating at a rapid pace. Every day, scam artists prey on unsuspecting homeowners who are facing foreclosure. These homeowners are losing thousands of dollars and their homes—lured by the promise of loan modification help.
To combat this issue, Congress asked NeighborWorks America® to launch a national public education campaign. The campaign will empower homeowners to protect themselves against loan modification scams, find trusted help and report illegal activity to authorities.
NeighborWorks America is working with national, state and local partners on the ground and 235 community-based affiliates. Together, we will alert thousands of homeowners in hundreds of at-risk communities through real-life scam stories, fliers, postcards, e-cards, posters, print advertising, local PSAs, events, word of mouth and social media activity.
2010 News release