Mortgage Salvation -- or New Twist on an Old Scam?


mortgage scamA lawyer in Tallahassee, Fla., is at the center of what some experts are calling a new take on mortgage relief scams, according to the St. Petersburg Times. Nearly 6,000 struggling homeowners seeking mortgage modifications have agreed to work with a Florida-based law firm in the hope of settling their outstanding debts. The only catch? It costs $5,000 to join the legal action, and there is often little chance of a quick and easy settlement.

Now several professionals within the Florida legal community are claiming that these "mass joinder" legal actions are just another take on an old con -- advanced-fee mortgage scams that prey on distressed homeowners.

Read the full story at the St. Petersburg Times.
See also:
Mortgage Fraud Hits New High
Old Scam Targets Homeowners Who've Refinanced


More on AOL Real Estate:
Find out how to
calculate mortgage payments.
Find
homes for sale in your area.
Find
foreclosures in your area.
See celebrity real estate.

Compare Mortgage Rates

Mortgage Rates by Zillow