How Do You Avoid Loan Modification Scams?
Loan modifications are used by people trying to reduce or get out of debts who have terms they cannot meet. Along with national programs and private loan-modification companies, unscrupulous scammers have popped up to take advantage of this situation. To combat this, the federal government has enacted laws to make running loan-modification scans more difficult. Scammers can be very convincing, so it is important to know the warning signs and how to avoid the scam. Refuse to deal with any agent or service that demands a payment or fee up front. Loan-modification companies are legally not allowed to ask for money before services are rendered. You should report any agency who asks for money up front to 1-888-995-HOPE. This organization is affiliated with the U.S. Department of Housing and Urban Development. Look for loan-modification service providers that are certified by the U.S. Department of Housing and Urban Development. These service providers have had to have their practices legall
