Avoid Foreclosure scams
Be scam smart
Research is important in spotting foreclosure scams.
Today, there are wide ranges of loan modification programs and services provided to consumers. This is great because this allows the consumer several purchasing options. The main disadvantage is that more time and effort is needed to seek out reputable companies. Those who are too busy or don’t find researching necessary is susceptible to foreclosure scams. Unfortunately, some companies take advantage of these customers.
Beware of potential loan modification scam artists.
The growth of foreclosure scams are expected to increase in correlation to the increase of home foreclosures. It is most likely a scam if you are required to sign a deed of your home; to an individual or company. Typically the deed is never recorded. Be cautious if you are told that a real estate agent or a title-escrow company is not required in the transaction. Also beware if the buyer says they are taking over the payments of the house or if the buyer tells you that they will purchase your house for the sum of the mortgages you owe and pay you an additional amount of money. These are all red flags to consider when dealing with an unethical servicer.
Avoid loan modification companies with upfront fees
If some loan modification servicer offers a large upfront fee and then charges a nominal monthly payment, you must avoid companies like these as their main intention and interest is trying to get you to sign up rather than keeping you as a regular customer. Most importantly, if you encounter a loan modification company that charges an outrageous and one-time fee, I think it would be understandable that they will make more money the sooner you go away. Loss mitigation companies charging a sensible monthly fee with a nominal or no upfront cost will have a greater interest in keeping you as a happy customer.
Tags: foreclosure help, foreclosure scam, loan modification help, pre-foreclosure scam
