http://www.cbs2.com/video/?id=38371@kcbs.dayport.com
Are you a homeowner facing potential foreclosure? If so, please be on the lookout for a "scam" in which "Foreclosure Rescue Specialists" target and defraud you with a document that appears to be a loan. But the product being offered is not an actual loan and as a vulnerable homeowner unknowingly has just signed over the deed of there home.
These unscrupulous individuals make good use of the foreclosure documents that lenders are required to file in court. They target the most vulnerable among us with this scam, preying on the fear of homeowners in danger of losing their homes - leaving the 'borrower' homeless, confused and in even greater debt.
Foreclosure notices are a matter of public record and searching such records has become significantly easier as they have become computerized. In many low- and moderate-income or minority areas, one can see signs and flyers advertising "Stop Foreclosure" or "Save Your Home". As both property values and the numbers of foreclosures have risen, this scam has become more prevalent.
This is how the scam works:
When the homeowners attempt to use the funds provided by the specialist to bring their mortgage up to date, they discover that the "loan" papers they signed were in fact sales documents and they no longer own there home. To make matters even worse, homeowners learn that they retain sole responsibility for paying the mortgage despite no longer owning the house.
In some instances, the "borrower" is given a limited period of time in which to buy back the house from the specialist for a sum that is substantially higher than what is owed on the mortgage. If the former owner cannot buy the house back, some specialists will let the former owners remain in the home if they pay rent.
I believe such actions constitute fraud and urge any homeowner who has been approached or taken by one of these unscrupulous individuals to report the incident to authorities immediately. I strongly advise homeowners to avoid working with these 'specialists'.
To avoid being scammed, homeowners should never do business with anyone who comes uninvited to the door, makes an unsolicited phone call or whose name is found randomly on a flier. As soon as you the homeowner falls behind in your mortgage payments, you should contact the mortgage lender immediately and be honest about their financial situation. The mortgage lender may allow the homeowner to renegotiate their loan or work with them to set up a repayment plan.
If a homeowner believes that he or she has been a victim of a Foreclosure Rescue Specialist, immediate action should be taken:
Contact the Consumer Protection Board at 1-800-697-1220.
Contact the California State Attorney General's consumer hot line at 1-(800) 952-5210 to report fraud.
Contact the California Investment & Financing Authority at 1-866-275-2677
If you find that you are facing foreclosure and you have exhausted all your means to try to save your home, then I may be able to help you. I CAN'T SAVE your home but I can save your credit. For a free consultation, call 951-491-5489
or visit www.theshortsaleagent.com
Your friend,
Joann