Tuesday, February 12, 2008

Florida's "Fresh Start" Foreclosure Rescue Operator Targeted By North Carolina AG

In Raleigh, North Carolina, WWAY-TV Channel 3 reports:
  • A consumer alert tonight for homeowners heading toward foreclosure. The state Attorney General's office has a warning. The warning comes after a company in Florida offered foreclosure assistance to some North Carolina residents, but did little or nothing to help them. Melvin Powell of Ogden is one of five people in North Carolina who lost money to a company called Fresh Start. Powell has lived in his home for seven years. He says last March he was close to foreclosure when he got a flyer came in the mail from a company offering help. Powell signed up for the program and paid $1,200, then never heard from Fresh Start again.

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  • [Last week], a judge in Wake County ordered Fresh Start to stop offering foreclosure assistance to homeowners in our state. He also ordered the company to turn over its records on all North Carolina customers. State Attorney General Roy Cooper is also trying to help people like Powell get their money back. He's asked the judge in the case to order fresh start to either pay back their customers, or make sure the money they paid goes toward their mortgage.

For more, see Attorney General warns of foreclosure scam.

Saee also North Carolina AG's news release: Cooper stops foreclosure rip off (Fresh Start promised homeowners it could stop foreclosure but failed to deliver).

Go here for other posts on Florida-based Mortgage Assistance Solutions and their "Fresh Start" program.