Don't Get Scammed! Loan Modification Part 5

Con artists seize opportunity

Don't get hit by a scam.

Many people who want to take advantage of the federal Foreclosure  Prevention Plan will need a professional to guide them through the process. There is a dearth of legitimate operations out there to provide people with this kind of help.

There are also plenty of con artists who will try to take advantage of homeowners in their time of need.

Sad, but true

Scammers have already started showing up as refinancing and loan modification help have attracted higher demand. The FBI has identified three basic types of scams.

1. Phantom help

In this scenario, fake mortgage rescuers promise help, charge a fee and run off with the cash. Usually the scammer is never heard from again, and the personal loan that is your mortgage, of course, remains unchanged.

2. Bailout scam

In a couple of scam scenarios, the con artists could end up owning your house. In a bailout scam, scammers will ask you to surrender your house title to them. The con artist says the homeowners can rent the house until the mortgage is "fixed" and then repurchase it.

3. Bait and switch

Paperwork can seem overwhelming, but don't sign anything you haven't read. ... click here to read the rest of the article titled "Don't Get Scammed! Loan Modification Part 5"