New York Attorney General Andrew Cuomo announced he would sue
Uniondale, L.I.-based loan modification company American Modification
Agency and 14 similar companies with business in New York under the
state’s consumer protection statutes. He said American Modification Agency, known as Amerimod, and others
were illegally charging upfront fees for services to modify loans
facing foreclosure, which is not allowed by state law, as well as
making misleading statements about their level of success with prior
clients in advertisements. “In many ways the entire [loan modification] industry is a scam, in my
opinion, because no one had to pay for this service in the first
place,” because the federal government offers it for free, he said. [more]