After Paying Firm $5,600 For Failed Loan Modification Of Unaffordable Mortgage, Brooklyn Homeowner Gets Needed Changes To Terms On Her Own

In Brooklyn, New York, Newsday reports:

• After months of trying to get mortgage relief using American Modification Agency, Brooklyn resident Rolett Brown is now working with South Brooklyn Legal Services to try to get back the $5,600 she paid AMA, based in Hauppauge and founded by executive Salvatore Pane. He also owns Amerimod, a separate Uniondale company that's Long Island's largest modification firm.

• Brown, who needed help after the monthly payment for her adjustable rate mortgage rose to $3,700 last July, said she paid AMA last summer, using two credit cards and a loan from her retirement fund. Her loan modification application was denied - twice. AMA wanted to try a third time. Brown said no. Then, she said, she connected with city officials and her bank's representatives and was able to get the changes she needed on her own. AMA hasn't refunded her money, she said. "I feel betrayed," Brown added.

For the story, see Foreclosure rescue firms under scrutiny (Federal and NY regulators moving to weed out scam operations with tighter rules).