We have carefully researched the Stop Foreclosure Industry to find out, for you, when the foreclosure scams end and the truth begins. We have seen it all!
- Borrowers in crisis paying $1500 and more to get help stopping their foreclosure from companies that have never stopped a foreclosure themselves.
- Borrowers telling us how they were told pre-maturely to file bankruptcy and pay attorneys between $1500 and $5000 each to do so --- all very unnecessary in our opinion.
- We’ve seen “sophisticated” investors scam frightened homeowners and then scam the lenders on top of that!
- We’ve seen companies charge almost $1,000 for stop foreclosure services while they pay another company about half of that price to actually do the work.
- We’ve seen homeowners pay multi-level marketing companies a very high price while the MLM members have not a clue how to help someone stop their foreclosure. In our opinion all they are trying to do is build a “down line” to make money from and make money on the people who buy into the MLM opportunity.
We have interviewed companies that were, in our opinion, so skanky that they were out of business in a few short months. We interviewed top foreclosure negotiators from 6 or 8 nationally advertised companies that worked very hard for their customers and many times obtained outstanding results, which generated a large supply of testimonials.
Below are some details of “foreclosure scams” that you need to be aware of so you can avoid making a giant mistake that could cause you to lose your home. Do not participate in any of these scams. You can be assured that BackOnTrackNOW DOES NOT practice these or any other scam tactics.
Bankruptcy Scam Operator
Bankruptcy foreclosure scam operators advertise over the Internet and in local publications, distribute flyers, or contact people whose homes are listed in the foreclosure notices, sometimes targeting specific religious or ethnic groups.
These scam operators may ask you to hand over your property deed and make payments directly to the operator while promising to take care of your mortgage lender problems. Instead of contacting the lender they pocket your money and file bankruptcy in your name. You may not even be aware that they are filing bankruptcy in your name. The bankruptcy, if it stops the foreclosure, does so only temporarily. Once the judge dismisses the bankruptcy, because you did not participate, the foreclosure proceedings will resume. You will have lost the money you paid to the scam operator, you may lose your home and you will have a bankruptcy on your credit report for many years.
Lies of the Foreclosure Scam Artists
Lie: We’ll save your credit. Pay us a fee, sign over your house to us and the foreclosure will be recorded against us, not you.”
Truth: The real truth is that when the foreclosure is recorded it is recorded against the person listed on the note to the lender, YOU, not the scam artist.
Lie: We’ll buy the property, lease it to you with the option of buying it back.
Truth: The scam artist buys the home for cheap because you want to be able to lease it back. What they don’t tell you is that when you want to purchase the home back your credit is bad from the late payments/foreclosure on your credit report so you most likely will not qualify for a loan. Since it will have to be a new loan with bad credit the lender will typically require a down payment which you will have to have saved while paying lease payments on the home – very difficult to do.
Lie: We’ll get you a new loan to solve the foreclosure.
Truth: This lie is very popular because it is what everyone wants to hear, a quick fix to the problem – a new loan. Reality is that in most cases you cannot qualify for a new loan. Once you are in foreclosure, 90 days late, lenders require at least 30% equity in the home to refinance, which most homeowners in foreclosure do not have. The new loan will have high interest rates due to the foreclosure so it is very difficult to qualify for the new loan due to the high payments. Let’s face if you were in foreclosure with lower payments, how will you handle the cost of the new loan and new higher payments. Many homes have been lost to foreclosure sale because the homeowner believed that they were getting a new loan and was just waiting for the approval telephone call. What really happens is at the last minute they find out the loan was not approved, time has run out to stop the foreclosure sale and the homeowner lost his chances to legitimately resolve the foreclosure.
Lie: We Buy Houses! Cash for your home!” Signs flash from almost every street corner. Promises to rescue you from your foreclosure by buying your home.
Truth: These proposed “rescuers” get possession of your home for a fraction of what it may have brought at sale, pocketing the profit. In worst cases they may transfer the home into a trust so they can rent or resell the property while you still remain legally obligated to the lender for the mortgage payments! This is like the rescuer tossing a cement life jacket to the drowning homeowner!
Anytime there are large amounts of money at stake, as with home foreclosure, you need to be wary about dishonest operators attempting to pocket money that might rightfully be yours or taking control or your home while leaving you responsible for the note to the lender. BackOnTracNOW uses proven, tested methods, common sense, their powerful and exclusive Stop Foreclosure case management tools and experience to legitimately help you save your home.
No one cares more about your home than you!
BackOnTracNOW will put you in control to resolve your foreclosure quickly and avoid foreclosure scams that could cost you your home!.
