A company called Corvus Law Group
is mailing ads to Idaho homeowners inviting them to join scam lawsuits against
their mortgage lenders, Idaho Attorney General Lawrence Wasden warned Wednesday.
The ads look like government forms and claim homeowners can get large principal
reductions or other monetary relief if they join the lawsuit.
"The scam is a pretext to collect an unlawful $5,000 upfront fee from homeowners," Wasden said in a press release. "The representations in the solicitations are false and are designed to prey on vulnerable homeowners. My office is currently investigating this company."
State and federal laws prohibit companies from charging upfront fees for foreclosure rescue or mortgage modification services. Beginning Sept. 1, it is unlawful for a person to charge a fee, upfront or otherwise, for these services, unless the person offering the service is licensed with the Idaho Department of Finance or exempt from its licensing requirement.
Wasden encourages homeowners who have lost money to this business or other mortgage rescue companies to file complaints with the state's Consumer Protection Division. Complaint forms are available at www.ag.idaho.gov or by calling (208) 334-2424.
"The scam is a pretext to collect an unlawful $5,000 upfront fee from homeowners," Wasden said in a press release. "The representations in the solicitations are false and are designed to prey on vulnerable homeowners. My office is currently investigating this company."
State and federal laws prohibit companies from charging upfront fees for foreclosure rescue or mortgage modification services. Beginning Sept. 1, it is unlawful for a person to charge a fee, upfront or otherwise, for these services, unless the person offering the service is licensed with the Idaho Department of Finance or exempt from its licensing requirement.
Wasden encourages homeowners who have lost money to this business or other mortgage rescue companies to file complaints with the state's Consumer Protection Division. Complaint forms are available at www.ag.idaho.gov or by calling (208) 334-2424.
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