In my last Money Crashers article, on avoiding foreclosure, I talked briefly about one thing that definitely won't help you: those bogus ads that promise a quick and easy fix to home mortgage woes. My latest piece is a sort of companion piece to that one, going into more details about the nuts and bolts of mortgage relief scams. I outline some of the different types of scams, such as "negotiation" services (something you could do yourself), "forensic loan audits" (which do nothing to get you a better deal), access to government aid programs (which do exist, but don't charge anything), and the worst of all, fake sale and rent-to-buy scams (which usually cost you your house as well as your money). Then I discuss how you can protect yourself from these scams by knowing your rights as a homeowner, recognizing the warning signs, taking precautions in all your mortgage dealings, and taking action if you've been the victim of a scam. Once again, here's hoping you never need this information—but forewarned is forearmed.
Mortgage Relief & Loan Modification Scams You Should Watch Out For