Taking a Closer Look at Foreclosures Scams

Posted on June 2nd, 2009 by saman

The Law Enforcement agencies in the Florida state area are taking a closer look at foreclosure scams. This scam is a desperate act to take advantage of homeowners who are in debt of losing their homes. Over 40 companies are now under observation with conducting a fraud assistance program. The aim of the fraudulent act is to obtain legal right to the property and have all the payments from the homeowners to come to them.

There has been numerous of cases that has been sued in the Attorney General’s office. It is a criminal act to charge a person with an upfront fee to assist them with any help including foreclosure prevention.

An example of this act is a Orlando Florida company who was charging their customers an excessive amount of $2000 for their services. The homes were still under foreclosure and the homeowners became in debt with no way out.

The Florida state had over 1000 complaints from this particular company. This criminal act was a punishment of $10000 per incident. Most victims were disabled and senior citizens.

The foreclosure rate was at all time high of at least 45,000 people who suffered from this act. There is help for foreclosure prevention, but you must pay close attention to the who you discuss this matter with.

There are lenders and non profit agencies who will lend a hand to those who are in need of foreclosure assistance. The non-profit agencies will not charge a fee for their services. They will conduct a ongoing plan that will help you get things back in order. The Obama foreclosure prevention program is a guide for people in need of help.

Other organizations are here to help such as the:

· Consumer Credit Counseling Service

For the state of Florida there are operators standing by to take your call for any questions or inquiries that you may have.

Other tactics

· Newspaper ads

· Commercials

· Direct mail

· Telemarketing

· Roadside Signs

Theses are ways that scam artists can get you to contact them and inquire about services. They will build an information database with your information and use it for their benefit. The scam artist will also appear to be professional and legitimate and charge you with a deposit to get started with your case. If the scam is not able to take place or monies cannot be paid upfront then they will move on to the next victim.

The investigations has found the scam artist to appear in a well dressed suits and other clients awaiting to be seen at a Orlando Florida company. They will issue checks in the amount of $1000 and up but their profit is much greater.

Once the investigations are in process they gather all information as proof and confirmed. They will approach the business with the proper credentials and paperwork with an order to shut down the establishment.

This is a major challenge for the entire law enforcement authorities to stay ahead of the game.