Legal Loan Relief
California Homeowners Can Stop Foreclosure with Loan Modifications, Forensic Loan Audits and Negotiated Mortgage Loan Modification Terms.

09 Aug 10 Mortgage Relief Scams Targeted by FTC

Unfortunately many unscrupulous loan modification companies have committed mortgage relief fraud with shady loan mod scams across the country.  The Federal Trade Commission announced in April of 2009, it would pursue “fraud and deception by mortgage loan modification and home foreclosure companies,” The agency seeks to halt “the proliferation of mortgage relief scams targeting distressed and vulnerable consumers who are delinquent or facing foreclosure,” said FTC Chairman Jon Leibowitz. He was joined by Treasury Secretary Tim Geithner and representatives of the Department of Housing and Urban Development and various state enforcers. See also its Nov. 24 release on Operation Stolen Hope.

Mortgage Fraud Victims

In this video, Latour “LT”Lafferty, attorney with Fowler White Boggs, identifies which mortgage fraud schemes consumers should look out for.

On July 29, the FTC announced Home Assure LLC, a company allegedly deceiving consumers with promises it could save their homes from foreclosure, will pay $2.4 million to victims in a settlement with the FTC. The case is part of the agency’s continuing crackdown on scams that prey on financially distressed homeowners.   The agency’s complaint alleges “Home Assure LLC conducted a nationwide marketing campaign designed to take advantage of struggling homeowners by offering so-called mortgage relief and home foreclosure prevention services. Home Assure typically charged consumers up-front fees of $1,500 to $2,500.” Company representatives falsely claimed its “special relationships with lenders would enable it to get favorable loan modifications or stop foreclosures, and that the company had helped thousands of consumers avoid foreclosure.”

The FTC works for consumers to prevent fraudulent, deceptive and unfair business practices. The agency sends complaints to Consumer Sentinel, a secure, online database available to 1,800 civil and criminal law enforcement agencies Read more from this Tulsa World article.

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