Deceptive mortgage programs prey on troubled homeowners

The economic crisis has spawned several companies that prey on homeowners who are having trouble paying their mortgages. The companies promise to save borrowers’ homes from foreclosure in exchange for an upfront fee, which is often thousands of dollars. New York Attorney General Andrew Cuomo said he plans to sue one company, Uniondale-based Amerimod, and plans to investigate 14 other loan modification companies that his office received around 50 complaints about. The Federal Trade Commission has brought about 11 cases against similar companies in the last year and sent warning letters to 71 more for marketing potentially deceptive mortgage relief programs.

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