6 Smart tips to avoid mortgage modification scams
by Marlon Powell
Mortgage modification is a viable option when you are struggling to make mortgage payments. But there are lots of mortgage modification scams happening nowadays. This article highlights 6 smart tips that can help in avoiding mortgage modification scams.
Tips to avoid
mortgage modification scams
Here are the 6 tips that can help you in avoiding mortgage
companies charging upfront fees: You must avoid those companies that
charge upfront fees for their services. The legitimate companies analyze
your situation as part of a free consultation. You must remember that you
are not required to pay any fee for consultation.
services that guarantee results: Beware of those companies that guarantee
to solve your problem. You must know that only the lender or the bank has
the final say as to whether your mortgage can be modified.
hand over your home: Avoid those companies that tell you to sign over your
home to them and in return they will pay back your mortgage. They may even
say that they will allow you to rent your own house. You must remember
that even if you sign over your home to anybody, you are liable to payback
the mortgage loan to the lender.
the company's reputation: Before signing any paperwork, you should check
the company’s reputation and successful cases of mortgage modification
over the years. Reputable companies will be able to provide references and
testimonials so as to prove their trustworthiness. If the company fails to
provide references, then you should search for other companies. You can
also verify the company's reputation with Better Business Bureau.
the contract: You should sign a contract only when your attorney has read
it thoroughly. Most of the defrauders write a contract that seems fair at
first, but will work against you in the long run. An experienced and
reliable attorney must approve of all the paperwork before you sign the
stop making payment: You should avoid those companies that advise you to
stop making mortgage payments to your lender and pay them instead. You
must never make mortgage payment to anyone except your lender.
These are the 6 tips that can prevent you from becoming the
victim of mortgage modification scams.