Should I Consider Using One of Those Foreclosure Prevention Companies that Advertise on TV or Radio?

Like you, the attorneys and staff of Clark & Washington hear those radio and tv ads from “foreclosure relief” or “foreclosure prevention” companies.  These businesses claim to have the information that “the mortgage companies don’t want you to know” and promise that they can stop foreclosures even after advertising has started.

Clark & Washington’s senior attorneys advise you to be very careful when dealing with a “foreclosure relief” company.  While some of these businesses may be legitimate, there are many that operate on the fringes of the law.

If you are thinking about engaging the services of a foreclosure prevention company, here are a few suggestions:

• check out the company with the better business bureau or the Governor’s Office of Consumer Affairs.  Multiple complaints should be a warning sign
• research the company on Google or Yahoo.  Do they have a web site?  Have others posted opinions or reviews about their work?
• does the company have a physical address – we advise you to steer clear of businesses that operate out of a post office box or who fail to list a physical address with a real phone number
• what provisions does the company have if the proposed modification or deal to stop foreclosure does not go through.  Is there a “drop dead” date whereby the company will advise you to seek Chapter 13 protection to stop the foreclosure

We know from our dealings with mortgage company default offices, that once a home goes into foreclosure the lender becomes more and more reluctant to stop the foreclosure process. This is especially true if you do not have a lot of money to bring to the table.  Don’t let promises and fast talk stop you from at least investigating the bankruptcy option.