At a time when a record number of homeowners are facing foreclosure, scam artists are preying upon Nevadans dealing with desperate circumstances.   

If you turn to a foreclosure consultant for help, be wary!  While there are many legitimate companies out there helping struggling homeowners, there are large number of phony consulting companies that offer their services for an outrageous fee. These phony companies require a substantial up-front fee to negotiate with the loan provider on your behalf for a more affordable loan.  Unfortunately, they do little or nothing, so you are out the money.  Even worse, you have lost valuable time that could have been used to work out a plan with the provider.

The main aim of these companies is to mislead you into giving them your money and stop you from getting real help. Legitimate foreclosure consulting agencies are generally nonprofits that never charge an up-front fee and are usually free.  Confirm that an agency is genuine before using its services. 

Visit http://foreclosurehelp.nv.gov/HousingCounselors.html for a list of qualified Nevada housing counselors. 

Most important, never pay up front for foreclosure consulting services!  According to NRS 645F.400, foreclosure consultants cannot charge a fee before they have performed the services you’ve contracted for.

If you think you have been victimized by a foreclosure scammer, act now.  File a complaint with the Division of Mortgage Lending at http://mld.nv.gov/Forms.htm#complaint_forms or contact the Southern Nevada Mortgage Fraud Taskforce at (702) 584-5555. 

For more information about foreclosure scams, visit the Foreclosure Help Website at http://foreclosurehelp.nv.gov/ForeclosureScams.html.  For a directory of fraud resources, visit the Fight Fraud Website at http://fightfraud.nv.gov/.  The site includes extensive tips on how to prevent fraud and provides downloadable complaint forms to help you respond effectively if you become a victim.