According the Washington State Department of Financial Institutions, the following are warning signs of a Loan Modification Scam:
§ Company operates out of state
§ Company is not licensed with DFI
§ Company claims license is not required because attorneys are involved
§ Out of state attorneys are not licensed to practice in Washington
§ Money is required upfront before any paperwork is reviewed or signed
§ Company tells you NOT to contact your lender
§ Company requires direct access to your bank account or credit card
Consumers can determine whether lenders are properly licensed using the “ Verify a License" feature on the DFI’s website.
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 credit card relief and home loan modification companies. Give us a call if you believe your rights have been violated.