Maine Regulators Stop 15 FC Rescue Firms From Doing Business In State

Posted by Orb Staff on July 08, 2009 No Comments
Categories : Mortgage Servicing

business regulators have directed 15 separate foreclosure rescue companies to cease doing business with consumers in the state. The companies, all located out of state, enticed consumers with radio, television and internet advertisements promising to help the consumers avoid foreclosure but then took the consumers' advance fees and did nothing to assist the consumers, the regulators say. ‘Many debt management companies comply with the law and become licensed and bonded for the protection of consumers," says Will Lund, superintendent of the Bureau of Consumer Credit Protection. "These 15 companies, on the other hand, made false promises and then took money from desperate folks who could least afford to lose those funds." The companies took a collective $36,000 in advance fees from 30 Maine households but have not saved a single home in the state from foreclosure nor reduced a single debt for a Mainer, says Lund. Further, he says, the companies have ignored all communications from state regulators. "[The companies] adopt business names that make it seem that they are connected with the government foreclosure relief efforts or the stimulus recovery laws," says David Stolt, chief field investigator for the bureau. "They imply that they can save you and your home from foreclosure and that for a fee, they will get your lender to modify your mortgage loan. These advertisements are very slick, very convincing and very deceptive." The following companies were cited in the cease-and-desist orders: [list]Federal Loan Modification Law Center in Irvine, Calif.; *United Hope Alliance Corp. in Jacksonville, Fla.; *National Foreclosure Counseling Services in Jacksonville, Fla.; * Hope Now Modifications in Cherry Hill, N.J.; *Pathway Financial Management in Stanton, Calif.; *Law Offices of Joel L. Schwartz in Northfield, N.J.; *BillsMadeSimple.com Inc. in San Diego; *Lewis Foreclosure Mediation Services LLC in Phoenix; *Apply 2 Save Inc. in Coeur d'Alene, Idaho; *HelpModifyNow.com in Newport Beach, Calif.; *Ocean View Investment Services Co. in Fort Lauderdale, Fla.; *FHA All Day in Boca Raton, Fla.; *Mason Capital Group LLC in Encino, Calif.; *The Hall Firm in New York City; and *Fresh Start Mortgage Assistance Solutions in Beverly Hills, Calif., and Clearwater, Fla.[/list] SOURCE: Maine Bureau of Consumer Credit Pro

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