When you receive word that your home is at risk of foreclosure, you may fear the future. You may wonder what other options you have to save your home.
During this unprecedented time, you could receive advertisements or offers from companies claiming to have the resources to protect you. While the initial claim may sound promising, foreclosure scams can jeopardize everything you have.
Guard your information
Never, under any circumstance, give your private information to anyone that is not your lender. This includes your address, banking information or mortgage contract. Recognizing the vulnerability of your situation is an invitation for scammers to take advantage of you. If a company solicits you and says they can help satisfy your outstanding debts, proceed with caution. According to USA.gov, some common strategies that scammers will use may include the following:
• Offering to renegotiate your mortgage contract
• Giving unsolicited financial advice
• Requesting that you sign various documents
Watch for misrepresentation
Some companies may try to impersonate government officials or mortgage lenders in an attempt to get your personal information. There are a variety of governmental resources available to you that may help you to prevent a foreclosure. At the very least, you can contact your lender and request a modification to the original terms of your mortgage agreement. You have the right to satisfy past-due payments in an effort to stop a foreclosure. Most scammers will not allow you a chance to find a solution before asking you for money.
When it comes down to it, companies offering to help you stop a foreclosure often lack the credibility to win your trust. You are better off looking into more legitimate resources, such as the government’s Making Home Affordable program or a law firm located close to your own community that has a track record of defending foreclosures or filing Chapter 13 bankruptcies that rehabilitate mortgagees, for help finding a solution that will enable you to keep your home.