Dear Attorney General,
My wife and I are struggling to make our monthly house payment and fear foreclosure by our loan company. Is there anything we can do to keep our home? I have heard of “foreclosure rescue companies” but I do not know if they can really help.
Dear Kansas Consumer,
Home foreclosure is a harsh legal process that often moves quickly. Unfortunately, scammers claiming they can “save your home” often try to exploit those facing imminent foreclosure and eviction. Under the guise of helping you to negotiate with your mortgage company, these scammers are actually out to take ownership of your home.
This is an alarming trend seen across the country. Consumers facing foreclosure should obtain legal advice immediately and never sign anything without having it reviewed by their attorney.
To find an attorney, contact the Kansas Bar Association’s Lawyer Referral Service at 1-800-928-3111. Kansas Legal Services also provides some assistance to Kansans with limited means. They can be contacted at 1-800-723-6953.
The most important advice for anyone facing foreclosure is to contact your lender or the company who sends you your bill as soon as possible. It may be possible to negotiate or re-structure the terms of your loan to make your payments more affordable.
In addition to contacting an attorney, you may also seek advice from a housing counselor. Housing counseling agencies offer guidance on buying a home, renting, reverse mortgages and default and foreclosure prevention. The Department of Housing and Urban Development (HUD) maintains a list of approved agencies at www.hud.gov.
If you absolutely cannot afford to keep making your mortgage payments, check all your options before walking away from your home. You may be able to sell your home or negotiate with your lender to avoid losing any equity or tarnishing your credit record.
Going through a foreclosure can be one of the most frightening and overwhelming events in your life. Kansas consumers should recognize that they are not alone and seek help before being taken advantage of by predatory scammers.
As your Attorney General, I am working to keep Kansans safe by spreading information and promoting awareness of consumer issues. If you have any questions or concerns about consumer issues, please contact my Consumer Protection Division at 785-296-3751 or 1-800-432-2310.