Beware of Scammers!
When homeowners struggle to keep up with their mortgage payments, they may desperately seek help to avoid foreclosure. Unfortunately, scammers prey on this vulnerability by offering false promises of mortgage relief—taking money upfront but failing to deliver any real assistance.
How Mortgage Relief Scams Work
Scammers often pose as mortgage relief specialists, legal experts, or even government-backed organizations. They claim they can:
✅ Lower your monthly mortgage payments
✅ Stop foreclosure proceedings
✅ Negotiate a loan modification with your lender
✅ Erase past-due payments
In reality, these fraudsters charge hefty upfront fees, take your money, and then disappear—leaving homeowners in an even worse financial situation.
Red Flags of Mortgage Relief Scams
🚩 Upfront Fees: Legitimate mortgage assistance programs will never ask for money upfront. If a company demands payment before providing any help, it’s a scam.
🚩 Guarantees of Mortgage Modification: No one can guarantee loan modifications or foreclosure prevention. Only your lender or a HUD-approved housing counselor can provide real assistance.
🚩 Requests to Stop Contacting Your Lender: Scammers may tell you to stop talking to your lender or servicer. This is a major red flag, as direct communication with your lender is crucial.
🚩 Fake Government or Legal Claims: Some scammers use official-sounding names or claim to be affiliated with government programs like HUD, making them seem legitimate. Always verify credentials.
🚩 Pressure to Act Immediately: Fraudsters often create a false sense of urgency, pushing you to sign paperwork or pay fees before you have time to research their claims.
For more information click below and visit the Federal Trade Commission website.