The housing crisis has affected Nevada homeowners particularly hard. As a result, many Nevadans are seeking guidance and assistance from professional housing or financial counselors. Though there are a number of legitimate resources available to assist homeowners, there are also many unscrupulous groups and individuals looking for opportunities to take advantage of homeowners looking for help.
Don't be a victim! Arm yourself with knowledge and make sure that any group or individual that you seek guidance from is looking out for your best interest!
Tips to Avoid Mod Fraud
1. Verify the company you are working with is properly licenses by the Mortgage Lending Division
2. Don't be pressured into signing a contract without reading and understanding it first!
3. Get everything in writing!
4. Beware of demands for payment before services have been provided.
5. Do not work with a company that:
- Guarantees they can stop the foreclosure process
- Instruct you not to contact your lender, lawyer or credit counselor
- Encourages you to sell your house and lease it back
- Recommends you pay your monthly mortgage payment to anyone other than your lender
- Urges you to transfer your property deed or title to them
HUD Certified Housing Counselors
When in doubt, reach out to a HUD certified housing counselor. There is no fee to work with a certified counseling agency. They will talk to you about your situation and help you find a solution that is right for you. They will help you understand what documentation is required for a loan modification and may be able to work directly with the mortgage company on your behalf. In addition, they serve as a valuable resource to help you get your finances in order and assist you in the process of preparing a budget to manage your household expenses.
What To Do If You're a Victim
If you feel you have been a victim of mortgage fraud or an unscrupulous loan modification specialist, you can file a complaint with the Division of Mortgage Lending and the Attorney General's office.
To file a complaint with the Mortgage Lending Division, you may obtain a complaint form online or by calling (702) 486-0782. The form should be completed in detail describing the facts of the case, dates of the transaction and names of people you spoke with. Supporting documents such as signed contracts, cancelled checks and receipts for payments should be submitted with your complaint. The Division will open an investigation into your complaint when all of the required documentation has been received.
Contact the Attorney General's Bureau of Consumer Protection about home foreclosure "rescue" scams at (702) 486-3794 or (775) 684-1180. A complaint form, as well as other valuable information on consumer protection is available on the AG's website.