During the time we have been going through this lending crisis, many “Professionals’” have come out of the wood work in an attempt to assist these distressed borrowers in modifying their loans. Because these borrowers are distressed, they are very vulnerable to the fact that these people may be scam artists, just out to get money from them, money that they don’t even have in the first place. They really believe these salesmen when they tell them that they can save their homes and maybe even get their mortgage payments lowered.
These companies try to offer services to help you become educated on what options are available to you to save your home. What they fail to tell you, is these types of services are offered to you for free by the Government and even local Realtors. They take thousands of dollars from you right off the bat, and then fail to provide you with the services they promised. And you the borrower is still left with facing foreclosure. They may tell you that they will work with your lender in getting a lower mortgage payment. Trust me, in most situations, this will not happen.
Loan modification companies are a threat to a troubled borrower for so many reasons. On top of causing you to lose money, they will cause you a great deal of time loss, in which you definitely do not have if you are facing a foreclosure situation.
So many of the experts out there are educated on the Loan modifications scammers and are trying to do what they can to help the borrowers recognize when they are being scammed.
These scammers will lure the distressed homeowners in many different ways. Some of them may even be attorneys or Realtors who are desperate for a buck. Half of the time they will just give you information that you can probably get on the internet.
You can easily avoid getting caught up with any of these entities. You just have to know that they are out there to not help you, but to help yourselves. If you take advantage of the free services, you will save a ton of time and save yourself even more stress. Just be cautious and know your rights as a homeowner. Also consulting your lender directly couldn’t hurt either. A lot of times, if you tell them exactly what is going on, they will be willing to give you options that work for you to pay your mortgage and save your home.
The non-profit companies that are assisting these homeowners, are here to let you know that you are not alone, and you don’t have to fork money out of your pocket to get the assistance you need in these already troubled times. They have your best interest at heart, so don’t be fooled by these radio and newspaper ads that tell you they can help you save your home. If it is not a government entity, it is not legitmate which means you need to steer clear and run the other way and not look back.