Loan modification fees
A good way to tell whether a loan modification company is legitimate or not is their fees. If they are charging crazy amounts of money just to get the deal done, epecially a lot upfront before anything gets done, then walk away!
I saw a statistic that 75% of loan modification companies are scammers, that may be a little high but it certainly does not surprise me.
The average “reasonable” fee for a serious, legitimate loan modification is usually going to be between 1500-2500 dollars. That is far from cheap, but sometimes you have no choice. You certainly do not want to lose your house to foreclosure or have to file for bankruptcy.
I also like working with a company that bases their fees off of percentages rather than a certain dollar amount. The normal fee their will likely be between 1-2 percent of whatever your loan for your house is.
Work with a respectable company with a solid background that has reasonable fees and you should be good to go!