5 Tips to Protect Yourself from Loan Modification Scams.

Direct from the Office of Attorney General here are 5 tips to avoid being scammed by “Foreclosure Consultants”.
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1. Never pay up front fees!!  “Foreclosure Consultants” are prohibited by law from collecting money before services are performed.

2.  Beware of “Foreclosure Rescuers”.  These people attempt to convince home owners they can stay in their homes as renters and buy their homes back later.

Sometimes they are part of a fraudulent bankruptcy filing.  Either way if you transfer your title or sell your home to a scammer they can evict you at any time

and take your home.

3.  Don’t pay mortgage payments to anyone except your lender or loan servicer.

This scam is “Mortgage Consultants”  often keep the money for themselves.

4.  Never sign documents without reading them first.  Some homeowners think they are signing documents for a new loan to pay off the loan they are behind on

or a loan modification.  When in fact, they have signed documents that transfer ownership to someone who may later evict them.

5.  Don’t ignore letters from your lender or your loan servicer.

If you have a complaint here are resources for resolutions.

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