Illinois Crackdown on Foreclosure Fraud
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June 21, 2010
CHICAGO - With the state of Illinois rated fourth highest in the nation in foreclosures, con artists continue to find ways to prey on people about to lose their homes. That's why Illinois has joined a nationwide crackdown on mortgage-related fraud. Illinois Attorney General Lisa Madigan has issued more than 400 cease-and-desist orders, and has ordered more than $1 million in restitution since the crackdown began in March.
Bob Palmer with Housing Action Illinois warns homeowners can fall prey to these scams through a call or a letter offering to stop the foreclosure for a fee. And sometimes, he says, the con artists get pretty bold.
"They might say, 'Sign your deed over to me and you don't have to worry about anything.'"
Palmer warns people to be suspicious of anyone who asks for money to save a home. Help with foreclosures is totally free when homeowners use a HUD-certified counseling agency, Palmer adds.
"They will never charge for their services at any time throughout the process."
The Illinois Mortgage Rescue Fraud Act prohibits people from charging up-front fees to rescue a home. Anyone who feels they have been victimized should contact the Illinois Attorney General's Office at www.illinoisattorneygeneral.gov.
Palmer advises homeowners to contact a certified HUD counseling agency if they need help with foreclosures.
"The website people should go to is www.makinghomeaffordable.gov. The toll-free number they should call is 888-995-H-O-P-E (888-995-4673)."