As we all know, the mortgage scam artists constantly invent ways to attract paying customers. Here is a new one to avoid.
Several laws protect homeowners facing foreclosure by requiring lenders and loan servicers to give the homeowner a “single point of contact” within their organizations. This protection is crucial to prevent harmful lender practices such as dual tracking and misplaced modification applications.
We have now learned that profit-motivated third parties are contacting homeowners and leading them to believe they are the point of contact for the lenders and servicers who hold their mortgages. They are asking for private information from the homeowners, and may ultimately ask for fees. As a minimum, this scam activity can confuse homeowners and lead them to waste time that should be spent contacting legitimate representatives.
Homeowners should never deal with someone directly calling who is claiming to be a point of contact.
A legitimate point of contact representative should be identified in an official letter from the lender or servicer, with appropriate contact details included.
This type of scam is another good reason to contact a HUD-approved counseling agency. That agency can communicate with the lender or servicer to verify the point of contact representative and to submit the homeowner’s personal information safely and confidentially. A homeowner who is contacted by one of these scam artists should report the contact to his or her counseling agency, a non-profit legal services agency, or the local district attorney.