Q & A About Home Equity Loan Fraud

This manual, published by Consumer Action (California) for community and consumer advocates working to educate senior, low income and minority home owners, warns about the dangers of home equity loan fraud. Topics covered include:

1. home improvements,
2. hiring a contractor,
3. warning signs of fraud, and
4. the possibility of losing your home through a home equity loan.

It specifically describes, in easy to read language, some of the ways homeowners have been defrauded by mortgage fraud scams and gives some homeowner tips when considering having home repairs & improvements done on your home. One important warning is that even if you do not borrow money for the repairs, most home repair contracts can result in a lien on your home.

While written by a California consumer advocacy group (presumably for California consumers), the information in this manual is generally valuable for consumers throughout the U.S.