| Loan Modification – 3 Ways to Spot a Company | | | | ask what similar options they give to compensate for |
| Scam | | | | this. |
| The economic recession is causing a lot of turmoil in | | | | Second, they ask for an upfront fee without giving you |
| the country today. It has affected a lot of people, and | | | | a thorough explanation of the process and your fee. In |
| millions of homeowners who cannot afford their | | | | addition to this, they seem disinterested and detached |
| mortgages are asking for loan modifications to get out | | | | from your problems. The legitimate ones are really |
| of their rut. It is a known fact that this kind of situation | | | | good listeners – because in most cases, you’ll |
| can make many people feel more vulnerable and | | | | do all the talking. They should thoroughly explain your |
| desperate for solutions. And when these situations | | | | situation, the process that you will have to undergo |
| arise, so do a lot of fraudulent activities whose main | | | | while you’re applying for your modification, and the |
| motivation is to scam people and make easy money. | | | | breakdown of your fees. By the way, there are some |
| The best thing you should do is to hire only a legitimate | | | | valid companies who will not disclose all their activities |
| company to help you solve your problems. But how will | | | | to the client. They are a dime in a dozen, though, so |
| you know they are not a scam? Here are three telltale | | | | proceed with caution. |
| signs: | | | | Third, they will just accept any proposal from a lender |
| First, the “so-called” experts whom you hire to | | | | without taking into consideration your financial capacity |
| handle your loan modification will charge you a | | | | and unique situation. So, after paying fees to a bogus |
| gargantuan fee at the start of the consultation | | | | company and then waiting for your modification for |
| process. Typical charges are really huge, and | | | | months, you suddenly realize that you are back to the |
| sometimes, they may even go up to $7500. It sounds | | | | same old situation. The sad thing is that once you |
| absurd, especially when the only service that they are | | | | realize this, you won’t be able to use the |
| going to do at this point is contact your lender and ask | | | | company’s services again, because you are |
| for a loan. There may even be instances when they | | | | allowed to utilize a third party negotiator only once. |
| may not get the loan for you. Nevertheless, they still | | | | Loan modification is an important process that requires |
| keep half of your money and return the rest to you -- | | | | a tremendous effort from only the best people in the |
| no explanations given. Before you sign the dotted line, | | | | business. Make sure you hire the best ones who will |
| make sure that there is a “Money Back | | | | collaborate with you in achieving your goals. |
| Guarantee” clause written in the document. If not, | | | | |