What a Deal! For $ 3,000! Eliminate Your Mortgage!
August 23rd, 2010 | 
Author: Banks, mortgage companies and other lenders offer several ways to delete a legitimate mortgage. You can borrow less, to refinance a short-term loan at a lower interest rate, make payments every two weeks instead of every month, pay a little more each month to the beginning, or sell the property.
Dozens of companies promise to help the owners to completely eliminate the 30-year mortgages in a matter of months, for a flat rate of only a few thousand dollars up front!
What a deal! For three thousand dollars or more, all you have to do is relax in your lounge chair twiddling your thumbs, and in less than a year, you can have your home free and clear, even if you’re facing foreclosure! Even better, you may qualify to withdraw tens of thousands of dollars in capital!
See how a typical mortgage elimination scam:
First, the mortgage eliminators (aka scammers) post advertisements on websites, pop-ups from internet, classifieds, and wherever they may announce bid for the disposal of the mortgage. Sometimes this is advertised as the elimination of debt, because the schema can supposedly clear the balance of car loans, credit cards and other debts.
The next step is selling the theory that the elimination of the mortgage is perfectly legal and it works. This is the fun part. Con artists have invented all sorts of creative arguments to prove the legitimacy of the elimination of the mortgage. According to one argument, the banks do not actually lend the money.
They asked for money borrowed, and if you trace the money back to its source, is money the government prints, so it has no real value – it’s just paper and ink. As the borrower, you actually generated the money because the government had to print more money to cover the loan. In essence, banks made money off of your signature, so that the mortgage note does not make sense, and you do not owe the money. Indeed, the bank owes you money!
They play a few extras for the argument to make it sound more convincing, often quoting politicians and Federal Reserve documents out of context to prove his point. They are also careful to point out that banks, mortgage companies and the FBI will tell you that the elimination of mortgage is a scam, because the establishment is so afraid that if more people knew the truth, the big bad banks would not be able to trick people out of their money.
Assuming you buy into the argument, you send three or four or five thousand dollars to the mortgage eliminator that promises to guide you through the process and represent you in court. With some scammers, which is the end of it? They pocket the money they receive on the front, and then you never hear about them.
Other mortgage eliminators take the blow even more. They advise that the owner of March until the office of the secretary of the Hall and fill out a form stating that the original loan was issued, it is sometimes called a discharge of debt. Naturally, the mortgage remains in place and the owner still owes money to the bank, but if the records of the county clerk to discharge the debt, the Act makes it seem as if the owner owns the property free and clear.
Now it seems that the landlord own the house free and clear, the owner applies to one or more additional loans on the property, with the generous support of eliminating mortgages, of course. When the loan or loans are approved, the mortgage eliminator and the homeowner will share the profits, often with the mortgage eliminator walking away with the lion’s share.
Eventually, the county clerk, the bank that made the original loan or the banks that made loans after local scam and confront the owner. By this time, the mortgage eliminator is long gone, leaving the owner with one or more unpaid mortgages, a legal morass and possible criminal charges for conspiracy to commit fraud.
Most disposal systems are designed to mortgage owners hook sensitive, and they resonate with the most vulnerable of them – the homeowners who are facing bankruptcy or foreclosure. What these homeowners should do when facing foreclosure is to immediately contact the lender and ask what options are available. The lender may be willing to restructure the payments to make them more accessible or suggest other legitimate solutions to the problem. In almost ninety percent of foreclosures, owners can benefit more from the sale of the property and paying the balance of the mortgage in order to recover your credit and start again.
Instead, owners in trouble often seek a more tantalizing and end up falling for businesses that really is too good to be true. They pay the money they can no longer afford to a sharper, or bury themselves deeper in debt, and create conditions that make it even more likely that they will lose their homes in foreclosure.
As real estate professionals, we are the first line of defense against all forms of real estate fraud, including mortgage disposal systems. We must educate ourselves to protect our customers and our industry against the persistent attacks and ever-changing tactics of real estate crooks. Only by becoming more vigilant and active, we may hope to gain the upper hand on those who threaten our survival.
