In addition to free foreclosure counseling, HPF operates a national hotline for troubled homeowners who want to report suspected fraud. About half of the reported scams involve attorneys or individuals claiming to offer specialized “legal services.” HPF refers the information to a national database accessed by the regulators and law enforcement agencies that have oversight in the homeowner’s area.
“Regretfully, every new government initiative spawns a slew of foreclosure avoidance scams, often from the same cast of characters doing business under various names to avoid easy detection and identification,” says Colleen Hernandez, CEO of HPF. “Most of these scams involve individuals supposedly offering mortgage foreclosure avoidance assistance that trained HPF counselors provide at no cost. Sadly, with most scams, no meaningful services are ever provided.”
Distressed homeowners should avoid any company or individual demanding upfront payments for assistance in avoiding foreclosure on their homes.
According to Hernandez, some scammers have even used HPF’s logo and brand in their promotional materials to create the impression that they’re affiliated with the organization.
