Watch out for the worst kind of humanity – scammers who prey on vulnerable homeowners facing foreclosure. These scammers often identify themselves as working on the behalf of a “foreclosure rescue company”.
Two red-flags that suggest homeowners are dealing with scammers:
1) The foreclosure rescue company, organization or individual promises that they can save the homeowners property. Of course there will always be a hefty fee attached to this “service” somewhere along the process.
2) The foreclosure rescue company guarantees that they can work out a loan modification with the homeowner’s bank. Again a fee will requested from the scammer.
In either scenario, guarantees and promises are worthless.
The Federal Trade Commission (FTC) provides additional tips on recognizing foreclosure scams at: http://www.ftc.gov/bcp/menus/consumer/credit/mortgage.shtm
The FTC advises homeowners who are at risk of foreclosure or who are behind on their mortgage payments, call: 1-888-995-HOPE. This free service offers counseling services through the non-profit Homeownership Preservation. Counselors are Housing and Urban Development (HUD) certified. Their official website is www.hopenow.com
Michelle A. Potter
Remax ProfessionalsMichelle Potter, Realtor in Denver
5280 Magazine "5 Star Denver Real Estate Agent"