Foreclosure Offense: Consumer Advocate Calls For Ban Against Upfront Fees For Loan Mod Help Or Any Comp Unless Mortgage Workout Actually Helps Distressed Homeowners

The Cleveland Plain Dealer reports:

  • The National Consumer Law Center [NCLC] is calling for a ban on advance fees for loan modification help and a federal rule that no one can charge homeowners fees unless the loan modification actually helps homeowners avoid foreclosure. The NCLC’s report was released [Friday], just ahead of the Federal Trade Commission’s deadline for comments on whether the agency should take steps to declare some loan modification practices unfair and deceptive.

For more, see Consumer law group urges FTC to save homeowners from foreclosure rescue scams.

For NCLC’s report, see DESPERATE HOMEOWNERS: Loan Mod Scammers Step In When Loan Servicers Refuse To Provide Help