Foreclosure Frauds:

Loan modification scams and foreclosure delay schemes

It's no secret that millions of Americans are suffering during these financially turbulent times, and many of them are in danger of losing their homes because they can't keep up with the mortgage payments. Loan modification is a legitimate solution used by lenders nationwide to keep homeowners in their homes. The Obama administration has encouraged and - more importantly - funded this process.

However, con-artists have sought to fill this niche and take advantage of people who feel desperate and helpless. These criminals take fees from homeowners to provide loan modification and foreclosure delay services that can be obtained for free. Worse yet, these people provide little or no value for the fee they charge. There are other options.

http://makinghomeaffordable.gov/beware.html

http://www.occ.gov/ftp/ADVISORY/2009-1.html

http://www.occ.treas.gov/ftp/ADVISORY/2008-1.html

In addition, most states provide detailed information about loan modification options and related scams on their websites. Below are links to the websites of some of the leading mortgage fraud states. If your state is not listed, typically you can find some helpful information at the website for your state's attorney general. Or google "[Your state name] consumer protection" and you should find some resources. See what resources your state provides online and then look at the website for California because it seems to provide one of the most comprehensive discussions about the subject.

California:

http://www.dre.ca.gov/cons_adv_fees_alert.html

http://dca.lacounty.gov/TSForeclosure.html

http://ag.ca.gov/loanmod/

Georgia:

http://dbf.georgia.gov/00/article/0,2086,43414745_43418327_113627779,00.html

Florida:

http://myfloridalegal.com/mortgagefraud

Illinois:

http://www.illinoisattorneygeneral.gov/consumers/homeowners_help.html

Maryland:

http://www.oag.state.md.us/consumer/foreclose.htm

New York:

http://www.consumer.state.ny.us/home_improvement_initiative.htm#Foreclosure

http://www.banking.state.ny.us/hetpfsc.pdf

Michigan:

http://www.michigan.gov/mshda/0,1607,7-141-45866_47905-177801--,00.html

http://www.lincolnpark.govoffice.com/index.asp?Type=B_BASIC&SEC=%7BAE8440D1-4ACE-4AD5-B39D-C0C5B57D2FE1%7D&DE=%7BAA61F8D4-9C5E-4429-88CA-0EAB1DC3F273%7D

Colorado:

http://www.ago.state.co.us/consprot/CoResourceGuide.cfm.html#F

(Scroll down to "Foreclosure;" it's in alphabetical order)

Arizona:

http://www.arizonaforeclosuretaskforce.com/2009/02/foreclosure-rescue-scams/

Nevada:

http://ag.state.nv.us/newsroom/press/2009/Attorney%20General%20Warns%20of%20Mortgage%20Scams.pdf

Utah:

http://realestate.utah.gov/DRE_Foreclosure_Alert_Release.pdf

Virginia:

http://www.vdacs.virginia.gov/consumer/pdf/foreclosure.pdf

Minnesota:

http://www.ag.state.mn.us/Consumer/PressRelease/090129ForeclosureConsultants.asp

Many lenders have information on their websites to help borrowers who are having difficulty making their mortgage payments. If you have your home loan through one of the following financial institutions, these websites may help you understand your options.

Bank of America:

http://www.bankofamerica.com/loansandhomes/financial-difficulty/

Wells Fargo:

https://www.wellsfargo.com/jump/homeassist/?DM_NUMBER=DMIWESERP1&mplx=10918-69547-3408-11

Chase:

https://www.chase.com/chf/mortgage/keeping-your-home

Rent Skimming

Predatory Lending

Identity Theft