Many Americans have become "equity rich" because of the growth of the real estate market. Even if they don't have much cash on hand, their homes could be worth several hundred thousand dollars or more in equity. Unfortunately, this growing wealth has made it easier for thieves to steal people's homes, equity, or both. More and more thieves are coming up with new ways to help people keep their equity, their homes, or both. New companies that say they can "get rid of" a mortgage owner are part of a clever scam. These companies say that for a few thousand dollars, the owner can get a free and clear title to their home even if they still owe money on it. What does this trick do?
This scam is a little more complicated than others that use simple identity theft or forgery. In this "mortgage elimination" scam, the owner entrusts his home to the mortgage elimination society, which acts as a trustee. The trustee sends the mortgage company a long, boring, and pointless letter of complaint, giving them only 10 days to respond. If the mortgage company doesn't respond within ten days, which often happens, the claim is free from the obligation of the mortgage. Using a power-questionable method, and then the confidence files with the share register for a local release of the house of the title. So, it looks like the house no longer has a right.
The legality of this wide range of disorders is questionable, and some of them are just plain fraud. It's even worse when the liquidator, after making it clear that he or she owns the house, takes a home equity loan from the audit funds and quickly disappears. The original owner is often left with a pile of court cases, a lot of visits from the police, and the need to pay two mortgages because of the mess. This scam is going on in some parts of the country, but it hasn't spread everywhere yet. The owners can easily avoid falling for this scam by realising a simple fact: you can't just give up on paying back a loan without a mortgage. Remember that if something seems too good to be true, it probably is.
