Issue Date: March 1, 2009
MoneySmart |
WALECIA KONRAD |
|
Foreclosure fraud!
Don't lose your home to a scammer who promises to "rescue you."
|
Look out for the latest scam: Crooks target troubled homeowners, promising to help avoid foreclosure. But they're really out to grab your home. The Treasury and other government agencies have issued warnings, and state attorneys general have gone after culprits. Two schemes:
Lease-back or repurchase. If someone offers to pay your mortgage, then rent back to you, steer clear. These scammers often have you sign over the deed, meaning they can raise the rent, evict you or sell your house. And you'll still be responsible for mortgage payments.
Refinance fraud. Faux lend-ers say they'll give you an affordable mortgage or offer to negotiate a repayment plan with your lender. You may end up making payments to the scammer, who keeps the money instead of paying the lender.
Want to know more about mortgage refinancing? Click here.
|
