From the category archives:

Fla. Stat. 501.1377

Two more loan modification shops are under fire from Florida’s Attorney General Bill McCollum:
The lawsuits were filed against south Florida’s Keep Your Property Inc. and Jacksonville-based National Foreclosure Counseling Services Corp. The attorney general’s office alleges that both companies charged up-front fees to customers facing foreclosure. This is against the law in Florida.
McCollum has said [...]

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Why CNN is Wrong About Foreclosure Rescue Scams
If you’re afraid – and you should be afraid – of getting ripped off by foreclosure rescue scams, you might think that CNN’s advice on how to spot foreclosure prevention rip-offs would be a good place to look. Sadly, you’d be wrong. Here’s why.

Their advice [...]

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“We are asking the Court to shut them down.”
Another loan-modification shop, this time in conjunction with a law firm, has apparently run afoul of the law. Florida’s Attorney General, Bill McCollum, has sued Florida Foreclosure Law Center LLC and Lincoln Lending Services and said at a press conference:
We are asking the court to shut [...]

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Since the passage of Florida’s Foreclosure Rescue Fraud Act, § 501.1377, many operations have been trying to get around the new law by teaming up with attorneys to offer services, in hopes that the attorney’s exemption would shield them from liability.
The Florida Bar has called foul. In a just-released Ethics Opinion, the Bar has [...]

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Florida AG Bill McCollum has set his sights on an Orlando-area firm offering loan modifications:
A local firm offering loan modification services to homeowners facing foreclosure violated a state law that prohibits companies from charging an up-front fee for their services, according a lawsuit filed Feb. 13 by Florida Attorney General Bill McCollum.
Among other things, the [...]

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Florida Attorney General Bill McCollum has shut down HomeKeeper USA, a Florida company, for violating Florida’s Foreclosure Rescue Fraud Prevention Act.
The attorney general’s office said it investigated the company for four weeks and found it violated the state’s newly-enacted Foreclosure Rescue Fraud Prevention Act by accepting upfront cash payments for arranging an alternative [...]

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Foreclosure Rescue Scams Still Run Rampant

by Mike on February 1, 2009

Imagine facing foreclosure, terrified of losing your home, and then paying hundreds or even thousands of dollars to a company who promised to help you – and then did nothing. Tragically, that scenario is all too real for many Floridians. More and more illegal foreclosure rescue operations are cropping up statewide.
These [...]

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If you want stricter laws protecting homewoners from predators looking to scam foreclosure victims, then Florida has some good news for you.
The state has enacted a new law, effective on October 1, 2008, aimed at equity-skimming and advance-fee fraud schemes designed to steal from Florida homeowners what little money or equity they may have left.
The [...]

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The Florida Bar News reports on Florida AG Bill McCollum’s action exempting Florida attorneys from portions of the Foreclosure Rescue Act. Florida Bar News editor Gary Blankenship has been following this story for some time, and has written a nice piece explaining both the problem and the solution. As an added bonus, he [...]

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I have just learned that the Attorney General’s office has taken action today to fix one of the largest flaws in the Foreclosure Rescue Act.  I don’t have the exact language, from from what I’ve been told, it uses the “express authority” provision in 501.1377 (2)(b) 2. to authorize certain Florida attorneys to provide foreclosure-related [...]

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