Loan Modification Scam Leads to Arrests in Florida
The Miami Herald reported the arrest of four mortgage professionals in August for operating a fraudulent loan modification business that cheated 400 Florida homeowners of over $750,000. The Herald reported that the arrested men charged “upfront fees of $1,500 to $1,750. After receiving the money, the company failed to work on the homeowners' behalf."
This take the money and do nothing scenario is common in in Washington as well, and Washington residents who are victimized by these loan modification and debt settlement ripoff artists can use the Debt Adjusting Act to obtain a total refund of all fees (plus attorney fees) paid to companies who violate the Debt Adjusting Act.
As the Miami Herald article suggests, there appears to be a national epidemic of dishonest people willing to take money from struggling homeowners with false promises that they will help the homeowners save their houses. The level of dishonesty here is sickening, but the the Debt Adjusting Act can help Washington residents fight back.
Seth Rosenberg of the Seattle Smith & Rosenberg law firm and Bellevue attorney Mark D. Walters, Walters Law Firm PLLC have joined forces to help consumers recover fees paid to unscrupulous debt settlement and mortgage loan modification companies. Give us a call if you believe your rights have been violated.