The U.S. Department of Housing and Urban Development (HUD) Wednesday announced Know It. Avoid It. Report It., a consumer awareness campaign in Atlanta designed to educate consumers on loan modification and foreclosure scams and encourage them to take action.
Atlanta is a hotbed for scams because of high foreclosure rates, according to HUD. Atlanta has a 332 percent higher rate of mortgage fraud than the national average . The campaign's objective is to inform struggling homeowners about the importance of working with HUD-approved agencies as they fight to save their homes.
“One should never have to pay for foreclosure counseling or assistance,” said Ed Jennings Jr., the regional administrator for HUD in Atlanta. “That's why we need homeowners to be vigilant by seeking out HUD-approved housing counseling agencies to obtain help and avoid being scammed.”
The foreclosure crisis has caused distressed homeowners to become vulnerable to scams. Out of desperation to save their homes, borrowers are giving thousands of dollars to mortgage relief scam artists.
Mortgage relief scam artists give the false impression that they are affiliated with government programs. They charge illegal upfront fees and practice fraudulent leaseback financing schemes.
For more information, call 888-995-4673, or visit www.hud.gov/preventloanscams to get the facts about mortgage fraud and report suspected scammers.
Northeast Cobb residents can contact HUD-approved housing counseling agencies to obtain foreclosure counseling.