Attorney General McGraw Warns Consumers about Businesses that Promise to Prevent Foreclosure

Charleston, WV – April 16, 2009 – (RealEstateRama) — Attorney General Darrell McGraw today issued a warning to West Virginians facing foreclosure. “Businesses are contacting West Virginians who are struggling to keep their homes and promising to stop foreclosures or obtain a loan modification if the consumer makes an advance payment,” said Attorney General Darrell McGraw. “You do not need to pay for those services.”

These companies request a large advance fee and may even guarantee consumers will get their money back if the business is unable to stop the foreclosure or obtain a loan modification. However, often times the company stops returning calls after the fee is paid. “If anyone requests an advance fee, this is a red flag,” said Attorney General McGraw. Also, beware of companies posing as governmental agencies.

These services are provided for free by the U.S. Department of Housing and Urban Development (HUD). The national hotline, 1-888-995-HOPE, is available 24 hours a day, seven days a week. Or you can visit www.hopenow.com. Information regarding the President’s plan is available at www.makinghomeaffordable.com.

Any persons wishing to file a complaint about a consumer matter or to alert the Attorney General about unfair or deceptive practices may do so by calling the Consumer Protection Hot Line, 1-800-368-8808, or by obtaining a complaint form from the consumer web page at www.wvago.gov.

Contact: Kim Stitzinger Jones
Phone: (304) 558-8986