8/7/2019 Missouri - Avoid Foreclosures and Avoid Foreclosure "Rescue" Scams

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AVOID FORECLOSURE “RESCUE” SCAMS

The Missouri Department o Insurance,Financial Institutions and Proessional

Registration wants you to avoid scams thattarget homeowners having problems payingtheir mortgages. In these “rescue” scams,con artists promise to help you save yourhome, but their intent is to steal your homeor most o your equity.

These predatory scams have been reported:

Foreclosure prevention specialist: The“specialist” is a phony counselor whocharges hety ees in exchange or making aew phone calls or flling out paperwork thathomeowners could complete themselves.

Even worse, some scam artists simply takea homeowner’s money and disappear. Noneo the actions results in saving the home.

Lease/buy-back: Homeowners are deceivedinto signing over the deed to their home toa scam artist who tells them they will beable to remain in the house as a renter andeventually buy it back. Usually, the terms o this scheme are so demanding that the buy-back becomes impossible, the homeowner

gets evicted, and the “rescuer” walks o with most or all o the equity.

Bait-and-switch:Homeowners think they aresigning documents to bring the mortgage

current. Instead, they are signing over the

deed to their home.

DIFPDepartment of Insurance,Financial Institutions &Professional Registration

Are you alling behind on your monthly mortgage payment? Have you ound yoursel delinquent

on your loan? Is your adjustable rate mortgage becoming unaordable because o increasing

payments? You are not alone. Every year millions o people have trouble with their mortgages,

but oreclosure oten can be prevented. Don’t be araid or embarrassed to ask or help. More

than one-third o those who seek help are successul in fnding alternatives to oreclosure.

CONTACT YOUR LENDER

Act early. Don’t ignore letters rom your lender i youmiss payments. I your loan is in deault, your lender mayproceed to oreclosure unless you can come up with themoney to bring the loan current.

As soon as you fnd yoursel struggling to make your

monthly payment, contact your lender. Most lenders who

believe borrowers are acting in good aith will be willing

to work with them. You and your lender may discuss

reasonable options and alternative payment plans.

GET HELP FROM A REPUTABLE

HOUSING COUNSELOR

The U.S. Department o Housing and Urban Development

maintains a list o approved housing counselors who give

ree or low-cost advice. To fnd a HUD-approved counselor

in your area, call 800-569-4287 or go online to

www.hud.gov/ofces/hsg/sh/hcc/c/.

Other options: NeighborWorks America and Homeowner’sHOPE, two national nonprofts, oer ree advice andsupport rom nonproft, HUD-certifed counselors 24

hours a day.Call 888-995-4673 or go to https://www.hopenow.com/.

dip.mo.gov

Avoid888-246-7225Foreclosure

The ederal government on March 26 announced

a revamped mortgage program to help more

homeowners keep their homes through reducedpayments and principal and refnancing o homes

whose values are lower than their notes. Call 888-

995-4673 or go to www.makinghomeaordable.gov.

Newprogram

8/7/2019 Missouri - Avoid Foreclosures and Avoid Foreclosure "Rescue" Scams

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Missouri law provides strong consumer protections

against these “rescue” scams. Under state law,a oreclosure consultant must present a writtencontract with a three-day right to cancel. Theycannot collect any advance ees and cannot acceptany portion o the ownership o your home.

OTHER RESOURCES FOR HOMEOWNERS

Missouri HUD

www.hud.gov/local/index.cm?state=mo&topic=ofces

Kansas City ofce

(Serves western hal o Missouri)

Phone: 913-551-5644Fax: 913-551-5469TTY: 913-551-6972

St. Louis ofce

(Serves eastern hal o Missouri)Phone: 314-539-6583

Fax: 314-539-6384TTY: 314-539-6331

Neighborhood Assistance Corp. of America

www.naca.com

NACA has a Home Save/Refnance Program toassist homeowners with unaordable loans who areat risk o losing their homes. NACA may be able tohelp you refnance your existing mortgage or workwith your lender.

Western Missouri

100 E. 43rd St.Kansas City, MO 64111Phone: 816-531-6222

Eastern Missouri

3930 Lindell Blvd.St. Louis, MO 63108

Phone: 877-704-6222

Reverse mortgages

I one or both o the homeowners on the title isover age 62, you may want to consider a reversemortgage. For inormation, see our act sheet athttp://fnance.mo.gov/consumers/reverse_mortgage.php . 

Avoid888-246-7225Foreclosure

FHASecure

http://portal.hud.gov/portal/page/portal/HUD/ederal_housing_administration

This refnancing option is available through theFederal Housing Administration. It gives credit-worthy homeowners, who were making timelymortgage payments beore their adjustable ratemortgages reset, a second chance with an FHA-insured loan product.

Phone: 800-225-5342

Legal Services of Missouri

www.lsmo.org

Legal Services is an entry point or accessing

legal assistance and may provide advice by phoneor reer you to a legal services ofce or privateattorney at no cost. Certain income limits mustbe met to qualiy or these services. Among theofces in Missouri:

Legal Services o Eastern Missouri (St. Louis)

www.lsem.orgPhone: 800-444-0514

Legal Aid o Western Missouri (Kansas City)www.lawmo.org

Phone: 816-474-6750

Legal Services o Southern Missouri (Springfeld)Phone: 800-444-4863 or 417-881-1397

Mid-Missouri Legal Services (Columbia)Phone: 800-568-4931 or 573-442-0116

Missouri Bar Lawyer Referral Service

www.mobar.org/be4cc9-6eea-4041-90a9-

6964d8a2951.aspx

I you do not qualiy or Legal Services o Missouri,you can contact the Missouri Bar Association,

which has a lawyer reerral service. You will bereerred to an attorney in your area. It will cost$25 or a hal hour consultation. Additionalservices will be at the attorney’s market rate.

Jeerson City: 573-636-3635St. Louis: 314-621-6681Springfeld: 417-831-2783

dip.mo.govREVISED 3-29-10