Thursday, April 14, 2011

Florida AG: Loan Modification Outfit Clipped Homeowners For Thousand$ In Illegal Upfront Fees

From the Office of the Florida Attorney General:
  • Attorney General Pam Bondi filed a complaint against a home loan modification company for allegedly requiring consumers to pay an upfront fee for services. According to an investigation by the Attorney General’s Office, U.S. Mitigators, LLC, a company providing home loan modification services, was allegedly requiring consumers to pay an upfront fee of $2,100 before services were rendered.
  • Many consumers reported paying the $2,100 fee and an additional $399 application fee for services they never received. The Attorney General’s complaint against the company seeks more than $48,000 in restitution for consumers.
  • Charging upfront fees for loan modification services is illegal,” said Attorney General Pam Bondi. “If consumers have been asked to pay upfront fees for these types of services, I encourage them to file a complaint with my office.”

For the Florida AG press release, see Attorney General Bondi Warns Consumers of Home Loan Modification Scams.