Paul Sakuma, AP
After the government approved a $25 billion housing settlement in February, scams promising relief to homeowners with troubled mortgages have risen, according to the Washington Post.
“Every time there’s a new government program announced — in this case, it’s a very large settlement — scam artists use that as an opportunity to defraud people,” Lisa Madigan, the Illinois Attorney General, told Washington Post.
Federal prosecution of such scams has risen 92 percent in the past three years.
In Alabama, homeowners were promised a piece of the pie in exchange for routing numbers to their bank accounts. In Illinois, they were promised a refinance on their loan, but only after they paid an initial fine.
While historically, most fraud cases dealt with the commencement of a mortgage, currently, 40 percent of those investigated by the FBI promise to handle foreclosures or refinancing of troubled home loans.
To try to curb the mortgage scam trend, state and federal agencies have sought out hundreds of lawsuits and sent thousands of orders demanding that the scams stop.
- The wrath of Comic-Con: S.L. convention...
- Dave Ramsey says: Don't touch that 529 plan
- BYU grad strikes gold teaching via online...
- Consumer index climbs to record level in Utah
- Balancing act: First 'real' job teaches...
- Does getting married really increase wealth...
- Utah Transit Authority eyeing electric bus...
- Healing souls, healing a mountain
- Fast food workers vow civil disobedience 18
- Dave Ramsey says: Don't leave an estate... 13
- San Diego Comic-Con tells Salt Lake... 12
- BYU grad strikes gold teaching via... 12
- Sarah Palin launches online... 10
- The wrath of Comic-Con: S.L. convention... 9
- Dave Ramsey says: Don't touch that 529... 7
- Utah Transit Authority eyeing electric... 4