Posts tagged as:

loan modification scams

FBI Offers Homeowners Tips to Avoid Loan Modification Scams

by Moe Bedard

Consumer Alert: Don’t Let Foreclosure Rescue Schemes Sink You
Fees and Practices Trigger Complaints to FBI and State Investigators

In tough financial times it seems plenty of companies are claiming they can save Utah homeowners from foreclosure. There are a growing number of advertisements offering home loan modifications–or foreclosure rescue plans–for up-front fees. In Salt Lake City, [...]

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California DRE Looking Into 1,3000 Loan Modification Scams

by Moe Bedard

“These people were taking advantage of people at the end of their ropes,” said Davi, speaking at the O.C. Coastal Chapter of the Women’s Council of Realtors. “And they are so prevalent.”
Many scam artists see the issuance of a desist-and-refrain order as a cost of doing business, Davi said. Often, they’re able to reopen under [...]

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Government Wants School Children and Homeowners to Spot Scams

by Moe Bedard

And it is one of the first places targeted in the homeowner education campaign launched on Monday by government agencies, local leaders and housing advocates to stop scammers preying on desperate borrowers nationwide.

Officials do not know how many scams have been perpetrated among millions of American families who have lost their homes or face foreclosure. [...]

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Loan modification scams continue in Nevada

by Moe Bedard

Boxes of complaints have poured into the state’s Business and Industry Department on people scamming homeowners out of thousands, claiming they can help modify loans but instead never do a thing.
“Weed out bad actors. When you put requirements in place, a lot of them will drop off, hopefully, because they have no intention of operating [...]

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Parsa Law Group’s James Parsa no longer allowed to practice law

by Moe Bedard

California attorney James Parsa of the Parsa Law Group has been ordered by the State Bar to stop practicing law effective immediately on October, 16, 2009.
Mr. Parsa was operating a large loan modification firm out of Orange County since 2008 and it is unknown at the time what will happen to the many homeowners who may [...]

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California Bar targets attorneys Paul Lucas and Sean Rutledge

by Moe Bedard

Last month the California Bar announced a formal investigation of 16 licensed attorneys that are suspected of possible fraud. Yesterday, the State Bar of California filed petitions against two of those attorneys to officially put them out of business during the investigations.
The targets of the Barr are Paul Lucas of the Lucas Law Center and Sean [...]

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Nevada Loan Modification Companies Get 1 Month for Compliance

by Moe Bedard

Fly by night loan modification companies swoop in, promise the world and then leave with your stolen ID and cash. It’s a problem we’ve been tracking for years.
Legitimate companies are trying to keep up with some tough new rules. Those protections motivate Elisabeth Daniels with the Nevada Business and Industry Department. The bottomed-out market brought [...]

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Nevada enacts law to stop loan modification scams

by Moe Bedard

The State of Nevada has ruled that every single loan modification consultant in Nevada will have to stop operations on Thursday if they don’t meet new requirements.
This stems from a law passed in May, which created new regulations for loan modifiers. Before that, anyone could call himself or herself a modifier. That led to a [...]

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Foreclosure lawyers scrutinized for ethical violations

by Moe Bedard

The state group that disciplines lawyers is debating how to deal with reports of attorneys using errors and false statements to retake property in foreclosure cases.
Some of the most egregious Florida examples come from Sarasota County, where a study this summer that looked at the civil courts system found three of four foreclosure cases that [...]

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Scammers prey on homeowners looking for help

by Moe Bedard

Locally, a Pico Rivera business specializing in home modification loans drew the attention of sheriff’s fraud detectives when several clients showed up Sept.17 demanding answers.
The next day, deputies raided Your Dreams Come True Inc. on Slauson Avenue and later arrested Frank Candelaria, 47, for theft when he allegedly collected an advance fee in East Los [...]

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Why Authorities Haven’t Stopped the Foreclosure ‘Rescue’ Boom

by Moe Bedard

Four states have sued 21st Century, and at least three more have open investigations. Over 150 consumers from more than 30 states have filed complaints against 21st Century with the Better Business Bureau. No active firm has more complaints.
Yet the company forges on. Operating under a new name, Fidelity National Legal Services, it continues to [...]

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Screwed homeowners, loan mod cons and death threats

by Moe Bedard

In my attempts to revive the American Dream for over two years a top my online soap box, I have to say that I have failed miserably. What I have discovered is that the ongoing nightmare of the American homeowner will continue on and that there are A LOT of rotten people in our society. Predators who [...]

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Suspect Loan Modification Firm Hit with Civil Charges, Accused of Scamming Consumers

by Moe Bedard

Following an ABC News investigation that exposed a suspect California loan modification company taking thousands of dollars from desperate homeowners while providing little to no help with their lenders, civil charges have been filed against the Nations Housing Modification Center (NHMC), the Federal Trade Commission announced today.
Former NHMC employees told ABC News the company was [...]

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Federal Government and State AG’s continue to take aim at mortgage fraud

by Moe Bedard

“A clear lesson of this financial crisis is that American consumers need better protection against fraud,” said Treasury Secretary Tim Geithner. “And while we will prosecute anyone who violated the law, going forward we will not wait for problems to peak before we respond. The Obama Administration is acting preemptively, across federal agencies and alongside [...]

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FTC Announces New Enforcement Actions In Continuing Crackdown On Mortgage Relief Services Scams

by Moe Bedard

The Federal Trade Commission today announced two new law enforcement actions in a continuing crackdown on mortgage foreclosure rescue and loan modification scams, bringing to 22 the number of these cases the Commission has filed since the housing crisis began. The FTC also announced developments in similar pending mortgage-related actions.
“Today’s challenging economy presents an opportunity [...]

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Is the FBI getting ready to arrest the remaining loan mod cons?

by Moe Bedard

Living here in Southern California, I get to see all the same perps who sold subprime slime now selling loan modification snake oil. Some are doing it above board, but most of these companies are not and many of them are well known to be operating massive illegal operations across the whole United States.  As [...]

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New head of State Bar of California assails mortgage modification scammers

by Moe Bedard

The proliferation of complaints against lawyers who said they could help rescue clients threatened with foreclosure has hurt tens of thousands of people and confronted the bar with a mounting and costly disciplinary burden, said Howard Miller, a partner with the Los Angeles plaintiffs’ firm of Girardi & Keese.
“There are at least hundreds, and perhaps [...]

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Brown Arrests Three Mortgage Brokers for Stealing Nearly $1 Million from Borrowers

by Moe Bedard

From the Califonia AG / Los Angeles- Continuing his fight against mortgage scams, Attorney General Edmund G. Brown Jr. today announced that agents from his office have arrested Michael McConville, and two of his associates for their roles in a “criminal conspiracy” to steal nearly $1 million from borrowers seeking to refinance their homes.
Schedule note: [...]

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Mod by Lawyers – Moe, you saved us a lot of money and grief

by Moe Bedard

I would like to thank Moe and all of you for your posts. I went to Mod By Lawyers (aka The Firm) last week and I have to say they were very convincing. – Leslie the Homeowner
I get chills sometimes when I read these comments and emails. The awesome feeling I get from helping someone [...]

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Feds, 10 States Join to Fight Mortgage Fraud

by Moe Bedard

10 states’ top prosecutors, 4 federal agencies form task force to combat mortgage fraud
Ten state attorneys general and four federal agencies are forming a task force to combat mortgage fraud.
Washington state Attorney General Rob McKenna issued a statement Monday saying targets of the enforcement effort include equity skimming, bogus foreclosure rescue, straw purchases and unethical [...]

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JPB Consulting Inc. / Mortgage Modification Solutions sued by Florida Attorney General

by Moe Bedard

Kissimmee Foreclosure Rescue Company Sued for Fraud
~ Company purportedly targeted the Hispanic community with foreclosure rescue scam ~
TALLAHASSEE, FL – Attorney General Bill McCollum today sued a Kissimmee-based company over allegations it targeted Hispanics in a foreclosure rescue fraud scheme. JPB Consulting Inc. and its president, Juan P. Bordali, allegedly charged up front fees of [...]

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AG Warns Loan Modification Companies

by Moe Bedard

The attorney general sent out letters last week to 386 loan modification companies, ordering them to register with his office and post a $100,000 bond, or face criminal penalties and fines. He said none has posted a bond so far.
“If you pay these people, you’re not going to get it back. They’re not financially solvent,” [...]

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Amerimod and owner sued by New York Attorney General

by Moe Bedard

For the last year I have been blogging about a large East Coat loan modification firm called American Modification Agency (AKA Amerimod or Your AMA) and its owner, Sal Pane. Just last month, New York Attorney General Andrew Cuomo filed civil charges the Long Island loan modification company.
Cuomo at that time described his investigation into [...]

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I help people modifying their loans

by Moe Bedard

This comment was just left on my blog by a lady named Irene and I wanted to point out the claims made by this poster. Basically it is an advertisement for her services and not really a comment or anything of value.
ATTENTION HOMEOWNERS: DO NOT CALL IRENE OR THIS NUMBER BELOW!
This is only being posted to [...]

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Brown Orders Mortgage Foreclosure Consultants to Post $100,000 Bond or Face Prosecution

by Moe Bedard

California Attorney General Press Realease | Los Angeles – Threatening possible criminal and civil prosecution, Attorney General Edmund G. Brown Jr. today ordered 386 mortgage foreclosure consultants to post $100,000 bonds and register with his office.
He also ordered more than two dozen companies to justify suspicious loan modification claims made in “slick advertising,” online and [...]

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Borrower frustration over delays, lost paperwork and other impediments has resulted in a cottage industry of sham loan consultants

by Moe Bedard

Goddard, who has been working with attorneys general around the country over the past two years to encourage lenders to be more user-friendly about modifying loans, says the borrower frustration over delays, lost paperwork and other impediments has resulted in a cottage industry of sham loan consultants who promise help with refinancing. These criminals take [...]

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California AG Brown to join the DRE and Bar on Wednesday

by Moe Bedard

California Attorney General Edmund G. Brown has announced that he is joining forces with the Department of Real Estate and the State Bar in a new round of loan modification busts this Wednesday.
I can see the remaining loan mod brokers and sham law firms running into the darkness as I write this blog post. Unfortunately for 200 plus firms in Southern [...]

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Santoya Financial sued by the Arizona Attorney General

by Moe Bedard

A consumer-fraud lawsuit has been filed against the Phoenix-based loan-modification firm Santoya Financial.
The Arizona attorney general filed the suit Monday alleging Santoya is deceiving consumers with its advertising, Web site and news releases.
According to the suit, Santoya claims its loan-modification services are approved by the U.S. Department of Housing and Urban Development, which is not [...]

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Brown and FTC to Unveil Nationwide Crackdown on Loan Modification Scams Wednesday

by Moe Bedard

This is a long time coming.
It looks like California Attorney General Brown and the FTC will announce a nationwide crackdown on loan modification scams this Wednesday in Los Angeles.  The announcement will name massive loan modification scams operating in Los Angeles and Orange Counties.
The AG & FTC have dubbed the crackdown, “Operation Loan Lies.”
I am eagerly awaiting [...]

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The Loan Modification Swindle

by Moe Bedard

A person’s eyes can only have the wool pulled over them for so long, right?
Am I right to say that a civilized society can only be asleep for a certain amount of time before they wake up and realize that they have been suckered?
I am telling you that nothing really has changed too much from [...]

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Century Legal Services Inc., Foreclosure Home Assistance LLC and Michael Brotherton Sued by the Ohio Attorney General

by Moe Bedard

Cordray Issues Statewide Foreclosure Rescue Scam Sweep
Seeks to shut down operations throughout Ohio
June 25, 2009

(COLUMBUS, Ohio) – Ohio Attorney General Richard Cordray today filed three lawsuits in a continuing effort to rid the state of foreclosure rescue scams operations. The lawsuits, filed against 21st Century Legal Services (Franklin County), Foreclosure Home Assistance, LLC (Cuyahoga County), [...]

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Freedom Foreclosure Prevention Services, LLC, Sued by the FTC

by Moe Bedard

Freedom Foreclosure Prevention Services and their group of kitchen table home savers look to be in a bit of trouble with the FTC. One thing is for sure, I am not surprised one bit!
I have been following the loan modification industry since early 2007 and this company has been trolling the foreclosure and loan modification [...]

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AmeriMod Subpoenaed by New York Attorney General Cuomo

by Moe Bedard

Attorney General Andrew Cuomo is preparing to file civil charges against Long Island’s largest loan modification company, AmeriMod and its owner, Salvatore Pane. While Cuomo Monday would not comment on AmeriMod, he said his overall investigation into the loan modification industry “has already uncovered many troubling practices.” From the NY Times
Sometimes I am amazed at how long [...]

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Brown Directs Foreclosure Consultants to Register with his Office and Post $100,000 Bond

by Moe Bedard

Oakland — Continuing his fight against scam artists who “prey on” vulnerable Californians, Attorney General Edmund G. Brown Jr. today issued a directive forcing foreclosure consultants to register with his office and post a $100,000 bond by July 1, 2009.
Those who fail to do so will be in violation of state law, subject to criminal [...]

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Desist and Refrain Orders and/or Accusations for Loan Modification Activities

by Moe Bedard

The following persons and entities have been served with a Desist and Refrain Order and/or Accusation by the Department of Real Estate resulting from a loan modification and/or foreclosure rescue transaction.
In some instances, the person or entity has been ordered to stop providing loan modification and/or foreclosure rescue services because the person or

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FTC Testifies on Efforts to Combat Foreclosure Rescue and Loan Modification Scams

by Moe Bedard

The Federal Trade Commission today told the U.S. House Subcommittee on Housing and Community Opportunity of the Committee on Financial Services that, with the rapid increase in mortgage delinquencies and foreclosures, the FTC has intensified its efforts to protect consumers from foreclosure rescue and loan modification scams. The FTC also recommended legislative and other remedies [...]

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Court Grants Emergency Request to Halt Jacksonville Foreclosure Rescue Company’s Up-Front Fees

by Moe Bedard

TALLAHASSEE, FL—Attorney General Bill McCollum today announced that his office has obtained a court order temporarily prohibiting a Jacksonville company from charging up-front fees for foreclosure-related rescue services. According to the order issued by the Duval County Circuit Court, National Foreclosure Counseling Services Corp. is barred from charging homeowners any fee in advance for providing [...]

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Loan Modification Crackdowns and Their Effect on the Public

by Moe Bedard

By Moe Bedard
Following suit with Treasury Secretary Geithner’s warnings, more foreclosure consultants are being sued by Attorneys General throughout the United States. Today, Indiana Attorney General Zoeller indicated he was suing five foreclosure consultants in his state. Personally, I think it’s a good thing that fraudulent foreclosure consultants are being prosecuted. However, I am increasingly [...]

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“Bloodsuckers and Bottom Feeders”

by Moe Bedard

By Moe Bedard
Yet another Mortgage Modification Fraud alert was posted on CNBC this morning. Former Department of Housing and Urban Development consultant Howard Glaser warned “The bloodsuckers and bottom feeders are out.” More and more attention is appropriately being placed on mortgage scam artists by the mass media now and I think it’s a good [...]

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Florida Attorney General Calls for Cooperative Approach to State’s Mortgage Fraud Issues

by Moe Bedard

~ Situation likened to a “state of emergency” ~
TALLAHASSEE, FL – Attorney General Bill McCollum today announced that he has sent a letter to several state agencies and associations, including the Florida Department of Law Enforcement, the Office of Financial Regulation, the Department of Business and Professional Regulation and the Florida Bar, calling for a [...]

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Florida Bar Ethics Alert: Providing Legal Services to Distressed Homeowners

by Moe Bedard

The Florida Bar’s Ethics Hotline recently has received numerous calls from lawyers who have been contacted by non-lawyers seeking to set up an arrangement in which the lawyers are involved in loan modifications, short sales, and other foreclosure-related rescue services on behalf of distressed homeowners.
 These non-lawyers include mortgage brokers, financial management advisors, foreclosure “consultants” and [...]

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Loan Modification Scams Shut Down by the FTC: Hope Now Modifications & New Hope Property

by Moe Bedard

The Federal Trade Commission convinced a U.S. district court to order two companies to stop advertising that they are part of a government-endorsed mortgage-assistance network. The complaints and restraining orders name Hope Now Modifications LLC, related entities and principals Nick Puglia and Salvatore Puglia as well as New Hope Property LLC and principals Brian Mammoccio [...]

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California Loan Modification Firms Out of Control

by Moe Bedard

Not only are the authorities cracking down on fraudulent loan modification firms, but attorneys are beginning to file class action lawsuits against major violators. One loan modification company mentioned in the FOX report, The Firm, from Rancho Cucamonga, CA was recently forced to pay back advanced fees to a client for loan modification services. [...]

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East Coast Loan Modification Firm Accused of Scamming Homeowners

by Moe Bedard

It looks like American Modification Agency or AmeriMod is in the papers again and it isn’t for fixing loans and saving homes.
I wrote about the Long Island based loan modification firm back in January when they were sued in a $100 million class action:
Former sales agents say working for AMA was a nightmare. They received [...]

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Loan Modification Companies: Saviors Or Scams?

by Moe Bedard

I got an interesting email today asking about “loan modification companies.”
These have sprung up like crabgrass in the midst of the foreclosure crisis, many of them run by former subprime mortgage brokers or real estate brokers who don’t have much work these days.
One Google [GOOG  Loading...      ()   ] search, and they pop up instantly with [...]

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