Archive for the ‘Home Foreclosure’ Category
How Scams Foreclosure Work
The signatures of foreclosure rescue use a variety of tactics to locate homeowners who are burdened by this situation. Some of these scammers prey on reviewing public notice notifying the foreclosures that appear in newspapers or on the Internet, exploring the public archives of local government offices and then send them personalized letters.
Others use methods of increasing advertising reach through the Internet, television or newspapers, posters or banners placed on the doorposts of telephone wiring in the street and at bus stops, or flyers or business cards left at the door home. Scam artists use simple and direct messages, such as:
“Stop Foreclosure Now!”
“We guarantee to stop your foreclosure.”
“Keep your home. We know that selling your home and is dated. No problem! ”
“We have special contacts with several banks that can speed the adoption of cases like yours.”
“We can save your home. Guaranteed. Free consultation. ”
“Every day we avoid foreclosures. Our team of professionals can avoid him this week! ”
Once you have attracted your attention, use a variety of tactics to get your money:
Advice false or phantom aid
The scam artist tells you that if you pay a fee in advance he can negotiate a deal with your lender to save your home. You may be told not to communicate with your lender, lawyer or credit counselor and leave the details of the negotiations in his hands: those of the fraudster. After collecting the advance fee, the scam artist vanishes with your money.
Sometimes, the scam artist insists that you pay directly to him all your mortgage payments while negotiating your case with the lender. In these cases, it is likely to disappear before the scammer may charge monthly fees.
Swindle or Bait and Switch
You think you’re signing documents for a new loan to catch up with their mortgage. This is a trick: what have you are signing documents to transfer title to your home ceding the name of a scam artist in exchange for a loan “bailout.”
Scheme rent / buy back
In this case, scammers tell you to surrender the deed to his house but this is part of a deal that will allow you to stay home as a renter and buy it back over the coming years. You may be told that by transferring the title of his ceding property to a borrower with better credit rating can get a new funding – and avoid losing your home. But usually, the terms of these deals are so demanding that they buy back the house becomes an impossible mission. In the end, you lose the house and the scam artist walks off with most or all of the net value of their accumulation mortgage in his pocket. Even worse, when the new borrower defaults on the loan, to evict you.
In a variation on this same trap, the scammer the rent increases over time until at some point you can not afford to pay. After defaulting on several months of rent, the tenant – you, the former homeowner – is evicted, and the “rescuer” is free to sell the house.
In a similar scheme to scam the accumulation of net value of your mortgage, the scam artist offers to find a buyer for your home, but on condition that you sign a deed in his favor and move out of the house. The scammer promises that when you sell the house will give a portion of the amount of the sale. Once you transfer the deed, which actually does the scammer is renting your home and get the money in his pocket while the lender pursues foreclosure. Finally, you end up losing your home – and is also responsible for the unpaid mortgage. This is because the fact of transferring a deed has nothing to do with the transfer of your mortgage obligation.