Foreclosure rescue scams target desperate homeowners. Learn how to identify phantom help, equity stripping, fraudulent modification companies, and other scams — and find legitimate help.
Foreclosure rescue scams prey on desperate homeowners, promising to save their homes while actually stealing their money, their equity, or even the deed to their property. The FTC, CFPB, and state attorneys general have identified foreclosure rescue scams as one of the most predatory forms of consumer fraud. According to the FTC, these scams have cost homeowners billions.
The scammer charges $1,000-$5,000+ upfront for "foreclosure rescue services" and then does nothing — or files meaningless paperwork that only delays the process. Once paid, they disappear or string you along until the sale happens.
The scammer convinces you to sign over your deed, promising you can stay in the home and they'll handle the mortgage. They then sell the property, take your equity, and evict you. This is illegal under the FTC's Mortgage Assistance Relief Services (MARS) rule.
Scammers claim to offer access to "secret government programs" or "Obama/Trump/Biden foreclosure relief" for a fee. These programs either don't exist or are free to access. No government program requires payment to apply.
You're told you're signing modification documents — but the fine print reveals you've signed over your deed or agreed to unfavorable terms. Never sign anything you haven't read and fully understood.
Legitimate foreclosure defense companies: (1) are licensed and have verifiable credentials, (2) never guarantee results, (3) provide clear, written agreements, (4) do not ask you to sign over your deed, (5) encourage you to communicate with your lender, and (6) have a track record of verifiable success. Dream Legal Solutions has 30+ years of legitimate foreclosure defense experience nationwide.
Dream Legal Solutions has 30+ years of verified experience. No upfront fees for case evaluation.
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