PhotoBEWARE OF SCAMS

Solutions that sound too good to be true usually are.

Do not be a victim of these scams:

  • “Sign Your Home to Me” Scam: If a group or individuals tell you that they can negotiate your mortgage for you if you sign over the title of your home and you become a renter in your own home…don't do it. Once you sign over your home, it will legally become theirs. Eventually, you will get evicted and they will use the property for rental or sale.
  • Equity Skimming Scam: A buyer promises to pay your mortgage or sell your home if you sign over the deed and move out. The "buyer" keeps the house and you keep the debt. Never sign over your home without being paid first.
  • Phony Counseling Agency Scam: They offer counseling for a fee and give you little advice. Remember, this advice is already free. Contact 1-800-569-4287 or TDD 1-800-877-8339 for a HUD-approved housing counseling agency.

Signs of a Scam:
Be extremely cautious if any individual or company…

  • Calls itself a mortgage consultant, foreclosure service, pre-foreclosure specialist, debt manager, tax advisor or some other similar name.
  • Contacts or advertises to people whose homes are listed for foreclosure.
  • Collects an up-front fee before providing a service.
  • Tells you to make your mortgage payments directly to them.
  • Tells you to transfer your property deed or title directly to them.

Tips to Avoid Similar Scams:

  • If you're getting letters threatening foreclosure but aren't yet in a lawsuit, contact a certified HUD counselor for assistance.
  • If you have a pending lawsuit against you for your home, get an attorney.
  • Never sign a contract under pressure.
  • Never make mortgage payments to anyone other than your lender.
  • If you can't pay, contact your lender immediately to work out payment arrangements.
  • Don't sign anything with blank lines or spaces.
  • Call the Better Business Bureau and the attorney general's office to see if there are any complaints against a company before you use them.