Over 50 refinancing and mortgage modification companies are currently under investigation as part of Arizona Attorney General Terry Goddard office’s crackdown on fraudulent repo home listing rescue services that have been victimizing unsuspecting homeowners who are desperate to save their homes from foreclosures.
Goddard said that his office is investigating the numerous complaints that it has been receiving concerning fraudulent foreclosure prevention schemes. He pointed out that the current main problem of the industry is third-party companies that demand for upfront fees in exchange for helping distressed homeowners modify their loans to make payments affordable and forestall foreclosures.
However, once the fees had been paid, that will be the last time homeowners would hear anything from these fraudulent repo home listing rescue services.
According to the Attorney General’s office, the Better Business Bureau and consumer-protection groups, there is a growing number of fraudulent foreclosure prevention services out there and homeowners should know how to identify these unscrupulous businesses.
Nationwide, the U.S. Federal Trade Commission is also conducting its investigation on fraudulent repo home listing services and has crackdown on entities with deceptive web sites, advertising and business practices.
Goddard pointed out that there are free federally approved, non-profit housing counseling agencies that can provide the same services being offered by foreclosure prevention businesses.
Furthermore, lenders and banks are advising troubled borrowers to approach and talk to them or to any state and federally-approved non-profit housing counselors before trying out private companies that offer loan modification services for a fee.
Jason Merke of Wells Fargo said the bank always encourages troubled borrowers to contact and talk to their lenders directly to work out several options that could help them avoid foreclosure. He added that borrowers should consider housing counseling agencies approved by the Department of Housing and Urban Development (HUD) or the Arizona Department of Housing.
Meanwhile, major banks and mortgage lenders are being criticized for their slow progress in refinancing or modifying distressed loans and for setting up complex systems and confusing protocols for loan assistance.
Some refinancing and loan modification companies are located in Arizona while others are based outside the state and have accessed to troubled and delinquent loans in Phoenix, one of the cities in the country with high number of repo home listing.
Search Repo Homes in Arizona Foreclosure Listings by City:
- Phoenix Repo Home Listings
- Tucson Repo Home Listings
- Scootsdale Repo Home Listings
- Mesa Repo Home Listings
- Glendale Repo Home Listings
Related Posts:
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- Laws to Help Homeowners and Contain Repo Home Listings
- IRS Guidelines to Avoid Bogus Foreclosed Home List Prevention
- Fannie Mae Announces New Steps in Response to Increasing Foreclosures
- More Ohio Homes Going Into Foreclosure Listings Services
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