Date: January, 2011
Based on current trends in real estate fraud investigations, the following summary of a new version of a foreclosure rescue scam has been provided by a prosecutor in Northern California.
We have seen similar seminars and scams operating in Ventura County. One such scam has already resulted in the filing of criminal charges.
This is a relatively new variation of loan modification scam. I have started calling it the “Principal Reduction Scam”. Here is how we see it working up in Alameda County, although I’m sure their are minor variations in each case.