Tag Archives: Treasury Department

Treasury Shuts Down Mortgage Scammers Who Use Google Ads

by Sheryl Hunter, Realtor on December 19, 2011 in Blog

Here is a great article from Jay Greene at CNET News.

The scammers allegedly preyed on homeowners seeking to lower their mortgages through a program created by the Troubled Asset Relief Program, or TARP, created by the federal bailout in 2008. The TARP program, known as the Home Affordable Modification Program, offers homeowners who are having difficulty paying their mortgages a way to alter their payments to ease the burden.

In a press release today, the Treasury Department alleged that scammers charged those homeowners fees for lowering mortgage payments, something the companies never actually did. And the agency alleges that the companies lured victims with online ads placed using Google tools. Scammers targeted unsuspecting victims by buying key words from Google for search advertising.

In the mortgage case, scammers often sought up-front fees to assist with applying for the mortgage modification program, even though the program is free. The rogue companies also encouraged homeowners to stop paying their mortgage and to cease all contact with their lender. Then, they sought to get homeowners to send them mortgage payments, transfer property deeds and release sensitive personal financial information.

To appear more legitimate, the scammers often claimed to be affliated with the U.S. government, used a government seal on their sites, and sometimes adopted government agency-sounding names.

Government Refinancing Program Extended

on March 2, 2010 in News

WASHINGTON, D.C. (Associated Press) – Homeowners have received another year to refinance their loans under the Home Affordable Refinance Program, the Federal Housing Finance Agency announced yesterday.
The program, which was originally scheduled to end June 10 but now expires June 30, 2011, allows borrowers who owe up to 25 percent more than their homes are worth to refinance at lower interest rates.
The Treasury Department reports that, so far, the program has helped about 220,000 homeowners with loans owned or guaranteed by Fannie Mae and Freddie Mac, far less than the projected four to five million.