On July 23, 2014, the Consumer Financial Protection Bureau and the Federal Trade Commission jointly issued an announcement, entitled "CFPB, FTC and States Announce Sweep Against Foreclosure Relief Scammers."

It seems that the perps are out in full force, using deception and false promises to "collect more than $25 million in illegal fees from distressed homeowners."

The Bureau and the FTC were joined, as well, by 15 states, letting the world know about their collective "sweep against foreclosure relief scammers that used deceptive marketing tactics to rip off distressed homeowners across the country."

Indeed, the Bureau is filing three lawsuits against the perps, those companies and individuals that allegedly collected more than $25 million in illegal advance fees for services that falsely promised to prevent foreclosures or renegotiate troubled mortgages.

The CFPB seeks compensation for victims, civil fines, and injunctions against the scammers. The FTC is filing 6 lawsuits of their own, and the states are taking 32 actions.

In this article, I provide an outline of the announcement and its implications, citing the particular foreclosure relief firms that are the subject of the foregoing actions.

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Topics:  CFPB, Clausen & Cobb, Foreclosure, Foreclosure Relief Companies, FTC, Hoffman Law Group, Strategic Enforcement Plan, The Mortgage Law Group, Unfair or Deceptive Trade Practices

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Jonathan Foxx, Lenders Compliance Group | Attorney Advertising

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Jonathan Foxx
Lenders Compliance Group

LENDERS COMPLIANCE GROUP, INC. (LCG) and its affiliates, BROKERS COMPLIANCE GROUP, INC. (BCG),... View Profile »


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