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Refunds for Michigan Foreclosure Listings Rescue Fraud Victims

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By : John Cutts    99 or more times read
The foreclosure crisis has affected thousands of homeowners in Michigan. Many of them were desperate to protect their properties from Michigan foreclosure listings that they would grab on anything that comes their way if it means saving their homes from foreclosures.

Many unscrupulous people took advantage of the desperation of homeowners, thus the proliferation of fraudulent foreclosure prevention schemes in the state. But victims of foreclosure fraud schemes are given hope by Attorney General Mike Cox's announcement that they will be able to receive refunds.

The refunds are made possible following the filing of charges against the Michigan Economic Reinstatement Program, Payment Doctors and SaveMyHome USA. These companies were the subject of undercover investigation conducted by the office of the Attorney General.

According to results of the investigation, representatives of these companies made fraudulent statements and charged homeowners upfront fees. The companies were accused of violating the Michigan Credit Services Protection Act.

Cox said that homeowners who are at risk of placing their properties on Michigan foreclosure listings need not worry anymore about being victimized by unscrupulous people and companies. He said that the recent action against these fraudulent foreclosure prevention services should be enough to send a clear message to con artists that they are being watched.

According to industry experts, the strategy of these companies involves offering loan modification assistance to distressed homeowners who are at risk of foreclosures. They would tell distressed homeowners that they have the right connections to convince lenders to modify troubled loans.

Results of the undercover investigation conducted by the office of the Attorney General showed that these companies charged homeowners upfront fees which is prohibited under the state law. Many homeowners would discover after paying the upfront fees that these foreclosure prevention companies could not obtain a modification for them to be able to save their homes from foreclosures.

Some fraudulent companies, upon receiving the fees from distressed homeowners, would just disappear, leaving homeowners in a more desperate situation.

Meanwhile, the three companies did not contest the charge of violation filed against them by the office of the Attorney General. Additionally, they agreed to submit customer lists which will be used to identify homeowners who will be entitled for refund of fees paid to companies.
John Cutts has been educated in the finer points of the foreclosure market over 5 years.

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