Boston Homeowner Dodges Possible Loan Modification Scam As Ex-Employee Warns That Firm Was "Just Flat Out Stealing"

In Boston, Massachusetts, WCVB-TV Channel 5 reports:

• On the verge of foreclosure, Nancy Coxall of Boston was ecstatic when she received a flier from Nation's Housing Modification Center, promising to lower her interest rate and erase bad credit. [...] All she had to do was make a one-time payment of less than $3,000. "I'm saying, 'Wow, I can't do any better than that.' I'm thinking this is wonderful," said Coxall.

• But Coxall was lucky. She canceled her deal after a call from former Nations Housing employee Tom Fatica. He realized what was going on and called potential clients to say there were actually no calls to lenders, and no loan modifications. "We are talking about a lot of money that they are just flat out stealing," said Fatica, "and they are stealing it from people can least afford to lose it."

***

• Our sister station, KGTV in San Diego, tried to speak with Nation's Housing president Mike Trap at his office in San Marcos, Calif. An investigation shows he has a criminal record. In 2003, he admitted to lying to a federal grand jury in connection with a $100 million real estate scheme. But Nation's Housing is still taking calls and people's money. [...] Nation's Housing Modification Center is under investigation by the San Diego District Attorney's office [...].

For the story, see Home Loan Co. Accused Of Fraud ('Nation's Housing Modification Center' Accused Of Fraud).