Don’t Get Scammed

The most widespread scam these days is foreclosure rescue or loan modification, targeted at those homeowners who are having trouble paying their mortgage. Typically, scammers guarantee to renegotiate the terms of a mortgage with the lender in exchange for up front fees. Many times, these scammers are just after your fees and will disappear once you pay them.

Other times, people who run legitimate loan brokerages or real-estate offices make misleading claims that they can help -- failing to actually do so almost all of the time, says Eric Katz, CEO of RateModification.com. These people make the situation worse by sending lenders incomplete, inconsistent and outdated modification packages. The fact is, loan brokers and real-estate agents often don't have the expertise or the authority to renegotiate loans for you, Katz says.

Joe Kohn, a Ft. Lauderdale attorney, also warns against using lawyers without any real-estate expertise. “Sometimes you see personal injury lawyers offering to do loan modifications. They consistently over promise and under deliver.”

That’s what happened to David Porter of San Diego, CA. Porter and his wife were lulled into a false sense of security when they visited the offices of their “attorney backed” loan modification specialist.

“Our phone calls were never returned, Porter says. “When we decided to get in the car and drive to the address, we wee stunned to see a call room with over 100 people pitching other homeowners with the same promises. I can only describe it as a boiler room.”

Porter and his wife had paid more than $10,000 in fees before they discovered that the firm had failed to even mail out their modification package to their lender.

You are probably dealing with a foreclosure scam artist if the company:

• Has no telephone number or physical address
• Has an “.org” Web site or e-mail address but isn’t non-profit.
• Demands a fee before services are provided.
• Instructs you to transfer ownership of your property.
• Makes verbal promises that are not put in writing.
• Asks you to sign a document that has blank lines or spaces.

RateModification.com offers homeowners affordable solutions. At your direction, let our award winning software prepare clear and complete financial packages in accordance with the guidelines of your particular lender. It’s fast and easy!