Prosecutor: Beware Loan Mod Fraud - NBC Bay Area

Prosecutor: Beware Loan Mod Fraud

Scammers may be targeting Latino homeowners.



    Prosecutor: Beware Loan Mod Fraud
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    Alameda County District Attorney Nancy O'Malley and other  prosecutors around the state warned the public Tuesday to watch out for loan  modification frauds that prey on distressed homeowners, including scams that  target Latino homeowners.

    O'Malley said in a statement, "Here in the Bay Area, we continue  to uncover evidence of ongoing and ruthless scams to defraud the vulnerable  of their homes."

    She said, "The frauds are endlessly innovative and law  enforcement, along with our business and community partners, must meet them  with determination and commitment."

    O'Malley was joined at a news conference on the subject Tuesday by  Santa Clara County District Attorney Jeff Rosen, California Deputy Attorney  General Maggy Krell, San Mateo County District Attorney Chief of Inspectors  John Warren, housing rights advocates, realtors and bankers.

    O'Malley said her office has a program called Homeowner Education  and Loan Protection Program, or H.E.L.P., which addresses real estate crime  on a multi-disciplinary and multi-system collaborative basis.

    The program helps homeowners who are victims of loan modification  fraud to file complaints.

    O'Malley warned people to be wary of companies that ask for fees  upfront under the promise that they will work to reduce or eliminate their  mortgages.