Posted On 18 Jul 2020
Alright so let’s say your home has entered the foreclosure process (If you’re not sure what this is no worries, we’ve got you covered in a previous post). Of course you want to stop the foreclosure dead in its tracks. There are lots of resources available to help you do so but there are also plenty of scammers out there. So today we’re here to teach you the 5 common claims made by foreclosure scammers and why you should care.
5 Common Foreclosure Rescue Scams
1. You pay us and we’ll help you save your home!
- If someone offers to help you save your home after you pay them a fee you are most likely being scammed.
- You should never pay someone to help you save your home, there are free resources available to you.
2. We will get your lender to change or cancel your loan!
- If someone offers to make your loan go away or to find mistakes in your loan contract you are most likely being scammed.
- Lenders rarely change or cancel loans. Plus, even if your loan is canceled you will still lose your home to foreclosure.
3. We guarantee you we will stop your foreclosure and save your home!
- If someone promises you they can help you keep your home and advertises their success rate you are most likely being scammed.
- The easiest way to save your home is to pay your backed mortgage payments or make an arrangement with your lender. There is no quick fix, no easy out and there definitely aren’t any guarantees once your home enters the foreclosure process.
4. Let us handle your mortgage company for you!
- If someone offers to make your mortgage payments and make payment arrangements with your lender on your behalf you are most likely being scammed.
- Always make payments directly to your mortgage company. If you need to make payment arrangements reach out to your mortgage company and come up with an arrangement yourself.
5. We will buy your house from you and sell it back to you later!
- If someone offers to let you stay in your home as a renter and they will sell your home back to you later you are most likely being scammed.
- Don’t let your title go in hopes of getting it back. Chances are the rent will be raised so that you can’t afford it and you will be evicted. The person with your title will sell your home and make a profit, leaving you with nothing.
Why you Should Care?
- Foreclosure scammers are targeting you. These scammers may contact you by mail, email or phone. They are distributing flyers, advertising online, making radio announcements and sending letters to people who they expect to receive foreclosure notices. The best way for you to avoid being scammed is to educate yourself. Become familiar with the types of scammers out there and learn how to save your home the right way.
- Scammers will often encourage you to stop making payments. Don’t ever stop paying your mortgage payment in hopes of stopping the foreclosure process. Getting further behind in your payments will only worsen the situation.
Want to Know More?
Homeownership Preservation Foundation
Seven Foreclosure Scams to Watch Out For
Posted by K. Brown
