Refinance Foreclosure
Protect Yourself From Foreclosure Scam Artists
When you are facing foreclosure and looking for help to avoid losing your home, you need to be careful. There are many corrupt individuals just waiting to pounce you and take advantage of your misfortune. They advertise themselves as foreclosure "Rescuers" or "experts." Before you realize it, they will get your property without a formal or recorded purchase for a fraction of what it would have put on sale. Without the registration of transfer they will try to rent your property to another unsuspecting person while you remain legally obligated to make the repayments on Mortgages. The mortgage company is unaware that something is wrong and you are back on the hook to pay the mortgage on a house you no longer possess, and which you do not receive rentals.
Most homeowners lack sufficient knowledge about shielding their legal rights, and alternatives to foreclosure. Beware of fraudsters who promises rescue from foreclosure.
There are primarily three types of foreclosure rescue scams:
The Phantom Help
The bailout
The Bait-and-Switch
The Phantom Help: the so-called savior will charge fees to facilitate phone calls or paperwork you can easily do yourself. None of those phone calls or paperwork that actually result in saving your home. It just gives you a false sense of hope and prevents you from seeking qualified help.
In a bailout: the savior cheat you to sign over title with the belief that you will be able to remain in the house as a tenant and eventually buy it back over time. The actual terms are so onerous that the buy-back becomes impossible, you lose possession and rescuer goes out with the right to sell and possess no cost to foreclosure.
It is important at this point emphasize that you NOT SIGN anything without consulting an attorney, regardless of what these scammers tell you. If trade is so good and so beneficial to you it will be just so good morning or a few days after you have had enough time to read the document and seek legal advice. Any arrangement that sounds too good to be true is too good to be true.
The Bait-and-Switch: under the guise of having you sign documents to bring your mortgage present, rescuers will cause you to surrender your ownership. The documents appear to be temporary loans. They will do so in a devious way that you do not will realize that you've been scammed until you are evicted.
When you are facing foreclosure, you do not have much time to react. This can lead you to make hasty decisions without consulting others. Fraudsters almost always emphasize the lack of time and insist that you make quick decisions. Then put pressure on you for a quick signature on the documents that you have not had enough time to read.
The initial contact typically is a simple message and often contain a "time is of the essence" theme, adding a note as soon as possible to what is already a stressful and possibly desperate situation. When you fall for the trap and decides to proceed with the savior, you will be promised a fresh start at the first meeting, and they can also provide you with testimonials from other homeowners they claim to have rescued. They will then ask you to cease all contact with your lender and give them the opportunity to take over. Every time you cease all contact with your lender, it is dangerous. This cuts access to your opportunities and you can quickly run out of time to eliminate. By the time you understand what's happening, it is too late and you have been conned.
Con artists will do everything possible to deprive a homeowner access to correct information. They win the homeowner's trust and warn homeowner to stay away from lawyers and advice agencies, ironically on the grounds that the lawyers and agencies "out to make money from the homeowner's misfortune."
When it's too late to save your home, you will have been drained by large tongue and other fees. If a deed was signed on fraudulent promises you that homeowner will then be displaced by the "savior" from the property you once owned.
Always be suspicious of anyone who offers you "negotiate loans, "whether they mail, fax or email a quote to you, call you on the phone or come to your door. Never fall for promises of" No Credit? Bad Credit? No Problem! "And the offers that are only good for a very short period. "
Here are some of the promises that scammers will do:
• We buy houses: instant cash.
• Cash for houses: any situation, condition.
• We get a new mortgage with low monthly payments.
• We help you file for bankruptcy to stop this foreclosure.
• We save your credit.
• We will pay your first month-to-month rent,
or payments in your new place.
• You get several thousand dollars cash back
that you can use any way you want.
• If you sign the house over to us, shielding
There will be recorded against us, not you.
• We will buy your house "as is."
• It will cost you thousands more if your property
sold at auction.
• We guarantee we will find you a buyer for seven days.
Do Not Sign Anything without consulting a lawyer.
For more information see www.EraseForeclosures.com.
About the Author
William Dorich is the author of 5 books on Balkan history and music. This experience led to starting his own publishing company in 1985, specializing in quality self and co-publishing to provide an alternative to authors who are sick of receiving rejection letters.
Since the inception of GMbooks.com he has produced and published over 130 titles including, “Witness to War: Images of the Persian Gulf War” produced for the Los Angeles Times–a book that won a Pulitzer. His list of clients include the Who’s Who of American business. His latest book is “Defeat Foreclosure.” In August, 2008 he will publish “The Nursing Home Crisis.”