Foreclosure

When the homeowner is no longer able to make the mortgage payments, it leads to foreclosure. When the foreclosure occurs, the lender exercises the right to seize the property, remove the homeowner and sell the home as stated in the contract.

You can avoid foreclosure by speaking to your lender and working with the making home affordable program. The program provides assistance to get you out of the home safely or keep you in your home.

Some scammers might offer to assist in your mortgage payments but they are only interested in your money. Some of the tricks that scammers use include:

• Assisting to help you file for bankruptcy.
• Asking you to sign fake foreclosure documents
• Offering fake legal assistance
• Claiming to assist you in holding the home by performing a forensic mortgage loan audit.

You can also take a new mortgage on new terms to pay off the existing mortgage. Learn more about refinancing a mortgage by going through the consumer’s guide through mortgage refinancings and Interest Rate Reduction Refinancing loans (IRRRL).

If you feel that you have been the victim of a mortgage scam, then you can file a complaint with the Federal Trade Commission or contact a local U.S Trustee Office.