With so many loan modification scams, particularly in San Diego and Orange County, and for that part the rest of the nation, the FTC is considering banning the collection of up-front fees to stop loan modification scam artists from stealing people’s money.  There are a lot of legitimate loan mod companies operating, but there are also many loan mod businesses that collect up front fees that are 100% legitmate and can get the job done.

Our philosophy is that we will not take on a client that will not qualify for a loan modification.  We have a strict pre-approval process that we go through before moving forward with any client. If we don’t think we can get your loan modification through, then we will not take you on as a client. Why waste your time and ours!  If we don’t think you can qualify for a loan modification, then we will steer you into another direction such as a forensic loan audit or a short sale.

Call us today if you need guidance on what to do: 1 (619) 631-4546.

See below for the complete article on stopping loan modification scams at the federal level.

FTC Considering Ban on Up Front Fees For Loan Modification: Stop the Scams

 FTC considering ban on upfront payments for loan help; FTC files charges against 2 firms in San Diego and Orange County

 By Alan Zibel, AP Real Estate Writer

On Thursday September 17, 2009, 12:02 pm EDT

 WASHINGTON (AP) — The head of the Federal Trade Commission said Thursday the agency is considering banning upfront payments to companies that advertise help for borrowers who are in trouble on their home loans.

 Government officials say scammers seeking to take advantage of borrowers in danger of default often charge upfront fees of $1,000 to $10,000 for help with loan modifications that rarely, if ever, pay off.

The FTC announced it filed civil charges against two companies, San Diego-based Nations Housing Modification Center and Infinity Group Services of Orange County, Calif.

 The government accused both companies of charging homeowners large fees for assistance in working with their lenders, but doing “little or nothing” to actually help borrowers.

 Leibowitz said the FTC was also considering restrictions on how mortgage rescue companies can advertise their services. Ads for loan modification companies frequently appear on late-night TV and on billboards in some parts of the country. Nations Housing, for example, mailed homeowners official-looking letters purporting to be from an address on Pennsylvania Avenue in the nation’s capital.

 They were designed to trick consumers into thinking that they were participating in a government program, regulators said.

 The government has filed charges against 22 companies operating such schemes and say the firms often have names or ads designed to make borrowers think they are using the Obama administration’s efforts to help modify or refinance millions of mortgages.

 Authorities emphasized that help is available for free from government-approved housing counselors.

 On Thursday, 12 state attorneys general met with U.S. Attorney General Eric Holder, Treasury Secretary Timothy Geithner and Housing and Urban Development Secretary Shaun Donovan to discuss their anti-fraud operations.

 ”A lot of these scams operate nationwide, from outside our borders,” said Connecticut Attorney General Richard Blumenthal.