These companies promise to save consumers’ homes from foreclosure for a hefty up front fee. After dealing with these deceptive debt-relief companies, consumers often end up worse than before.
The article quotes Derrick Briscoe, from Tucson, who was told by one of these companies to pay them $2,000 and quit paying his mortgage for three months. His home is now in foreclosure and he is currently seeking to get his money back. These companies often offer money-back guarantees but seldom pay them.
The article advises consumers to…
Be wary of the many companies that advertise on the Web, who offer guarantees and who tell you to send them your mortgage payments. And don’t sign anything without reading the small print – some homeowners have unwittingly signed away their deeds to fraudsters who ultimately evict them.
Legitimate companies, such as the Obama loan modification program, (MakingHomeAffordable.gov) do not charge fees. Consumers should be wary of companies who charge large fees.
If you have had problems with this type of dishonest debt-relief company, feel free to contact us.