With the accumulating number of foreclosures in the US housing market, comes a rise in foreclosure rescue scams.  It is hard to believe that people still take advantage of others in their time of hardship need, just to make a living.  These people are truly scam artists and need to be put in jail.  If you are facing foreclosure, you may want to read on to learn about the signs of a possible scam and what to avoid when trying to avoid foreclosure.

Below are the warning signs of a foreclosure rescue scam. If you are working with a person or company that shows any of the following, you may want to think it over and look for a different person to work with.

-The individual asks you to pay their company your mortgage payment and then they will forward that to your bank on your behalf.  (This makes no sense, cut out the middleman and send the mortgage payment to the bank yourself.)

-The "rescue" company asks that you give them your deed, or transfer the title to them and they will help get you out of foreclosure.

-You receive a door-to-door solicitation or some piece of marketing service that will buy your home out of foreclosure.  Some of these people are legit, but most of them are not, it's usually just a waste of time for you to contact these companies. They will offer to help by paying you far less than your home is worth, if you're lucky. Others are just equity fishing scams. If you have equity, they will trick you into signing your home over to them. You'll just be wasting away precious time by working with one of these companies.

-The company asks you give them a fee before they will help with their services, especially if they ask for a fee up front.  It is okay to pay a company after they do the services that they promise to provide to you. If you do pay up front, it should be guaranteed and the fee should be held in an escrow account until the services are complete. But you should never pay anything until after your case has been thoroughly evaluated and you feel comfortable with the individual.

-If you are offered a contract to sign with a foreclosure rescue company, take it to an foreclosure lawyer and get it reviewed.  Don’t sign any paper work, without another lawyer not affiliated with the company you are working with, taking a look at it.

-If you do sign an agreement to sell your home, make sure that it releases you from any liability of the mortgage on the property, including any deficiency judgments. You need to make sure that your mortgage is paid off and that you no longer owe money on your mortgage or to any of your lenders. Many people agree to a sale to avoid costly deficiency judgments, but end up with the debt anyway.

-Never sign any blank pages, you can’t be certain what the foreclosure rescue company, could add to the page when you are not present and make sure you get copies of everything you sign.

-If you do not speak English have a translator help you and one that you can trust.

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