State Officials Issue Desist and Refrain Orders Against Loan Modification Firm Operating Unlawfully
SACRAMENTO, Calif.–(Business Wire)– After a joint investigation, the California Departments of Corporations (DOC) and Real Estate (DRE) issued separate Desist and Refrain Orders against 2nd Chance Negotiations, Inc., ordering the company to stop performing loan
modification services.
“While the current market has created some wonderful opportunities for those looking to buy, it has also fostered an environment ripe for abuse,” DRE Commissioner Jeff Davi said. “With so many folks struggling to stay in their homes, foreclosure rescue scams have risen dramatically. The department is aggressively pursuing individuals and companies trying to cash in on Californians in their time of need.”
2nd Chance Negotiations, Inc., based in Fair Oaks, California, solicited financially stressed borrowers, and, in exchange for an upfront fee, promised borrowers they would negotiate with the borrower`s lender to modify the terms of the borrower`s loan. However, the joint investigation established that 2nd Chance Negotiations, Inc. was not licensed and/or legally authorized to perform the promised services or collect advance fees. 2nd Chance Negotiations, Inc. can request an administrative hearing to challenge the orders.
“The State has worked hard through various means to help distressed homeowners avoid foreclosure,” stated DOC Commissioner Preston DuFauchard. “We will take swift action against unscrupulous operators who violate State laws.”
Loan modification scams are worrisome and widespread. Last July, the DRE had fewer than 10 complaints involving loan modification companies. Today the department has 500 pending investigations. In addition, since last October the DRE has filed over 60 Desist and Refrain Orders and/or Accusations involving loan modification scams.
The DRE Web site has important consumer information on how consumers can protect themselves against unscrupulous providers who collect advance fees promising financially stressed borrowers relief, but instead, do nothing. The Commissioner encourages all consumers to log on to DRE`s Web site at http://www.dre.ca.gov/mlb_adv_fees.html, and to check out brokers wanting an up-front fee in exchange for loan modification help.
“It is important to keep in mind that no person is required to pay a third party for a loan modification,” Commissioner Davi stated. “A consumer can simply call his or her lender or use the services of a nonprofit housing counselor.”
In general, and with limited exceptions, only licensed real estate brokers and California attorneys operating as lawyers within the scope of their license, may collect advance fees. Real estate brokers must have their advance fee agreement reviewed and sanctioned by the DRE prior to its use. Information on DRE`s web site will help consumers ensure that a company wanting an advance fee is properly licensed and can legally collect an advance fee before they sign on the dotted line.
For more information about DRE and its programs visit www.dre.ca.gov.
For California Department of Real Estate
Tom Pool, 916-227-0772
{ 31 comments… read them below or add one }
I was one scammed but this Second Chance Legal Services…is there any way to contest the charges I paid since the services rendered did not match what was promised? Or am I out of the money? I charged the amount to a credit card.
I signed a contract with 2nd Chance Leagal Services and they did absolutely nothing to help me. I paid them 3K and still lost me house on 4/7/09. I got a call from them 30 minutes prior to the sale of my house and was told to contact the morgage company and tell them I had a attorney and that I was filing for bankrupcy! When I called American Home Mortgage, they pretty much laughed at me!!!!
I am also a person who signed a contract with 2nd Chance and paid them 3K for services they did not provide. My house was sold in a foreclosure sale on 4/7/09. What can I do to get my money back or is there an attorney who can help?
Thank you.
How can I get my money back i paid them in December and they have done nothing to help me, I am working with the bank myself can you help or advise me on how i can get my money back/
Contact the CA Dept of Real Estate and the Sacramento County District Attorney’s office to lodge complaints. Most likely, you’ll have to go to small claims court.
My wife paid $4k include broker fee and realized that it was fraud, because they didn’t turned in any docs to my mortgage company and I found that the case has been closed due to fail to respond to turn in the docs they needed. isn’t there anyway to get refund for that.
We have several bankruptcy and loan mod clients that have brought in their Second Change contract for our review. Each lender we contacted stated that they had not received any hardship package from the borrower agency Second Chance!
We are saving these homes!
also scammed ! need to get in touch with a matthew cole or a moy abarca, any answers or phone numbers for me would be greatly appreciated. thanx brett!
looking for moy abarca or matthew cole, need phone numbers if anyone has them thanx brett! scammed.
I am probably one out of hundred that actually got my money back from Second Chance Legal services. After they contacted me to switch to Superior properties, I got suspious and contacted my lender directly and found out the file was never processed.
I was so ANGRY. I threatend them that I was going to sue them and report them to DRE, news media. One tactic I used is that I called them hundreds of times to bother them. Yes, I called them every 10 seconds to disturd them until they connect me to someone can refund my money, on and off in 2 weeks. It worked. I cashed the check in the mail. You should and make their lifes miserable.
I am probably one out of hundred that actually got my money back from Second Chance Legal services. After they contacted me to switch to Superior properties, I got suspious and contacted my lender directly and found out the file was never processed.
I was so ANGRY. I threatend them that I was going to sue them and report them to DRE, news media. One tactic I used was that I called them hundreds of times to bother them. Yes, I called them every 10 seconds to disturd their business until they connect me to someone can refund my money, on and off in 2 weeks. It worked. I cashed the check in the mail. You should try make their lifes miserable.
I was also scammed by this company. Because it was attorney based company they had the right to collect fees upfront. However, they did not have an advance fee agreement with the CA DRE. I have filed a complaint with the BBB, CA dept of consumer afairs, CA DRE, and working on the CA DOC. My next step is to file a lawsuit against them in small claims court in Sacramento, CA. Please don’t give up the fight!!
I sing with 2nd change and pay 3000 for the loan modification they didnt do anything and they were always telling me that they were working on my case but I didn’t see any imprubment I contac my bank and they told me that they never call them to do anything at all.
Jose, did you keep a copy of the check or have their physical or mailing address? Please post if you do.
Does anyone that received a refund have their address or a copy of the check issued? Need to find these guys so a lawsuit can be filed.
I was also a victim of fraud from this company. Everytime I called to check on the status of my loan modification they said that they where working on it but indeed nothing was being done. I recieved this letter saying that they are now working under Superior Properties and that if I wanted my money back or work under them because they are now a whole “NEW” company.
We are also filing a law suit against them.
This is their address:
7529 Sunset Ave. #C-1
Fair Oaks, Ca 95628
Does anyone have the contact numbers so I can continue to bug them every second of every day so I can attempt to get my money back? Thank you
Does anyone know if the injunction against FLM by the FTC will help us get our money back for services never rendered???
My nephew and family paid 2k up front to save their house with this company. They had to borrow the money. They did everything in their power to save their house. They wer called yesterday, 5-20-09, saying their house be auctioned off 5-21-09. I will do everything in my power to shut this company down!
I too am a victim of the fraud scheme of 2nd Chance Legal Services who now calls themselves Superior Properties. They have $2,500. of my money which I gave to a Ron Reber in a cashier’s check. But, they did not perform the services of negotiating with my mortgage holder and then 2nd Chance lied when I told them I no longer wanted their services, they said no money had exchanged hands. The strangest thing about the whole process is, some how they managed to get my current lender to cooperate with them and get information about my mortgage which they used in the first contact by letter to me when they were calling themselves 2nd Chance Legal Services, 7529 Sunset Ave., Ste C-1, Fair Oaks, CA 95628. Their address now is Superior Properties, 7529 Sunset Ave., Ste C-2, Fair Oaks, CA 95628. I don’t know who to contact to get my money back on this. It’s sad to think that we human beings treat each other this way.
The last correspondence I got from the former 2nd Chance Legal Services who now calls themselves Superior Properties is dated May 22, 2009. The address label on the outside of the envelope has the address Superior Properties, 7529 Sunset Ave., Ste C-2. At the bottom of the sloppy looking stationary the letter is on the address is the same address except it has Ste C-1. There is also a phone number of 916-863-3425. I called the number and listened to a recording that said, “Your call is being answered by IP Services.” Then another recording came on which said, “Superior Properties, please leave a phone number for a return call.” I didn’t leave a number, I just wanted to see if the number connected.
I too am a victim of this company. I started with them in November and still have nothing to show for it I put up 2,888 in advance. Now I got an email today from a suzette Mayer wanting all new docs signed and new pay stubs current tax info, like she is starting at square one. I am fuming and just want my money back. 30-90 days my butt! I started my own mod with my morgage company for free and guess what they are actually working on it!
I like everyone else in this forum have fallen for this scam. Last month I received a call from LaTarba Brown stating they are now working on the account and 2nd Chance is no longer in business. The faxed information I received is Superior Properties, 7529 Sunset Ave., C2, Fair Oaks, CA – Tele: 866-993-1663 x-281 and fax 888-580-1677. Also would anyone happen to know if Michael Buckalew is still with this scam
I am also a victim of Second Chance. I recently reported them to the BBB and am planning on filing a case against them in the small claims court of Sacramento. I also like everyone else want my money back! These people are heartless, I was 8 1/2 months pregnant when I walked in their office with my paperwork! I love the idea above, call them off the hook until they give your money back. We should all do this!
I am Jose, one of the few who actually got money back from the 2nd Chance Negotiations Scam. You have to keep calling them- Amber and Laura for hundreds of times, till they understand that you won’t leave them alone until your check is in the mail.
The refund check I got was from the following info with Wells Fargo Bank in Fair Oaks, CA:
Mesunas Properties, Inc. dba Superior Properties
7529 Sunset Ave., Suite C1
Fair Oaks, CA 95626
I am going to give you the contact numbers for you to keep bothering them till you get your money back. When you call them, the operator will transfer you to voice mail as always. Tell her that you need to speak to them directly or you will keep calling them every 10 seconds till you speak to AMBER. Keep doing it till you get your money back. It took me 10 days, but my money is back in my bank now.
866-993-1663 Laura@asupermod.com
916-863-3430 Shaylen@asupermod.com
916-863-3325 Amber@asupermod.com
Word out is to cash those checks fast “if you even get one”. It is said that consumers will receive a letter stating a refund in 60 to 90 days. That is just a stall tactic as they are filing BK. Good luck then! No way you’ll get your money back. Hurry.
We signed on with 2nd Chance in January 2009 and paid $4000 up front. They immediately drafted the funds but did practically nothing. I called off the hook when I started to feel suspicious. I also continuously followed up with our lenders and they told us that 2nd Chance was doing nothing. In May we got a call from Superior Properties (Paul Furtsch) saying Superior took over and that they have nothing to do with 2nd Chance. We are actively pursuing getting a refund from the person who sold us on this company in the first place! And will probably file in Small Claims Court as well. Keep fighting. What a scam.
FYI for those who paid by CC, if it was within the last 6 months:
Call your CC provider and tell them you want to charge back. They will send you a form to fill out and then 2nd chance will have to contest it. If they lose, you get your money back
Has anyone talked to 2nd chance or superior properties in the last week? Do they still answer their phones? What’s their current phone number
They are out of business and I am sure nothing is being done on your file. Conact a non-profit and or your lender right away and get help.
I too was taken by these scammers for $3200. Literally the last of my money, just to save my home which is now foreclosed on, since June 2009. Is there anything we can do to get our money back? Please help!