Identify and Avoid Foreclosure Prevention Scams

1. You are asked to pay an up-front fee for help working with your lender. Too often, unscrupulous individuals or companies seek to charge homeowners an upfront fee then do little or nothing to help prevent the foreclosure. Beware of foreclosure rescue scams that require you to pay a fee for assistance with your mortgage situation. If you have been contacted by anyone claiming to be a Certified Program3648 Representative and asked to pay a fee for their services, do not pay, and report them here. There is never any charge for the assistance provided to you by a Certified Program 3648 Representative. CPR’s are generally licensed real estate agents that have been trained and certified to help homeowners proactively resolve their mortgage situation. CPR’s volunteer their time to provide homeowners with countless hours of consultation, training, and assistance, as well as processing and negotiating with their mortgage companies.

2. You are advised to make your mortgage payments to someone other than your mortgage company. Never send a mortgage payment to anyone other than your mortgage company. If you are having trouble making your mortgage payments, you should contact your mortgage company. If you feel uncomfortable contacting your mortgage company, you can contact a CPR who can help you work with your mortgage company.

3. A company/person guarantees they can prevent a foreclosure. Nobody can guarantee they will prevent a foreclosure in every circumstance. Ultimately, your mortgage servicer and mortgage investor must approve a work out solution to prevent foreclosure. Legitimate, trustworthy agencies can only guarantee that they will do everything possible to prevent the foreclosure and persuade your mortgage servicer and mortgage investor to approve a work out solution for you.

4. You are pressured into signing any paperwork that you haven't had a chance to read, or you don't fully understand. Never sign a document before you had a chance to read and fully understand it. If you have any doubts whether or not the paperwork you are being asked to sign is legitimate, ask to have it reviewed by an attorney, your lender, or you can contact a CPR for help.

5. You are asked to release personal financial information online or over the phone. You should only give this type of information to your lender or companies that you know and trust. Program 3648 requires CPR’s to meet with homeowners face-to-face at their home or the CPR’s office review documents and financial information.