Loan modification scams
Like I have said in several of my other posts, loan modifications can be wonderful things if they are done right, unfortunately not everyone out their has your best interest in mind.
The best way to avoid a loan modification scam is to do your research and to only work with people that you know and trust. That might not sound glamourous, but it is the only way to do it right.
Don’t work with anyone who charges a very high fee for their services upfront, that is often a tell tale sign that something is fishy.
Don’t work with anyone who makes unsubstanciated claims. It is fine that the person you work with is confident, but no one can promise you that everything is going to work out.
With the recent downturn in the economy, loan modification scams have only become more and more prevalent, this is a bad thing but they can be avoided. Make sure to use your gut feeling before working with someone on such an important topic. If you do not feel 100% safe with the person you are working with then call it off! Do not let people take advantage of you just because you are desperate.