Channel 2 News "Sting" Two Foreclosure Rescue Operators

In Southern California, local television station CBS 2 and its investigation team led by investigative reporter David Goldstein set up hidden cameras in a Whittier, California home and caught two foreclosure rescue, mortgage consultants seeking to charge upfront fees to help a homeowner facing foreclosure, according to a report on Channel 2's website at cbs2.com. According to the report:

• "The real homeowner is facing foreclosure. That information is made public so she has received hundreds of flyers from people offering to help. But we hired this actress to pose as the homeowner and watched from the back room as we invited foreclosure experts in to hear their pitch."

This is the first "foreclosure rescue sting" caught on video that I have come across. I suspect that these "caught-on-video stings" of foreclosure rescue operators will become more and more frequent. If anyone knows of any foreclosure rescue stings on video that are available online, please let me know at HomeEquityTheft@yahoo.com. For more on this story, see:

• Foreclosure Experts Prey On Desperate Homeowners,
• Click here to see Video - CBS 2 Foreclsoure Rescue Sting (then, click "Play")

Editor's Note:

California has specific statutes strictly regulating foreclosure rescue purchasers and mortgage foreclosure consultants who approach homeowners facing foreclosure seeking to do business with them.

• For the statute regulating consultants, the California Mortgage Foreclosure Consultants Act can be found at Section 2945 through Section 2945.11 of the California Civil Code.

• For the statute regulating purchasers, the California Home Equity Sales Contract Act can be found at Section 1695 through Section 1695.17 of the California Civil Code.

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