New Hampshire Foreclosure Numbers Reveal Problem of Foreclosure Rescue Scams!
Did you know that the number of foreclosures in New Hampshire have increased by 95 percent in the time period between the first quarter of 2006 and the first quarter of 2007?
State Representative Tom Donovan of Claremont certainly noticed this disturbing trend and thus introduced a New Hampshire foreclosure bill in January that would examine this growing problem in the state, and aim to stop foreclosure or at least curtail it in the state.
Specifically, House Bill 365 set up five key points for the New Hampshire foreclosure commission to study, including:
- the extent of the increase in foreclosures in New Hampshire;
- the economic and other reasons for the increase in New Hampshire foreclosures;
- the rise of the foreclosure rescue scam industry in New Hampshire;
- the types of New Hampshire foreclosure rescue scams being marketed; and
- an assessment of the effectiveness of current New Hampshire foreclosure laws addressing rescue scams.
Upon hearing of the intentions of this bill, the New Hampshire House Commerce Committee asked for more than a study to be done, especially when addressing the final three points: foreclosure rescue scams in the state.
Examining Common New Hampshire Foreclosure Rescue Scams
A recent Concord Monitor story detailed the types of mortgage fraud schemes that have been preying on families in the state who desperately need to stop foreclosure proceedings.
- Bait and Switch: The story detailed how bait and switch has most likely become the most common New Hampshire foreclosure rescue scam. During this process, the homeowner is led to believe that he or she is signing new loan documents that will allow him or her to pay back missed mortgages and stop foreclosure. In reality, these documents give ownership of the home to the rescuer. The story added that the rescuer then acts as an oppressive landlord who sets high rental terms and evicts the former owner. Such bait and switch methods have resulted in homeowners losing not only ownership but also thousands of dollars of equity in their former homes.
- Sale/Leaseback: This New Hampshire foreclosure rescue scam is a variation of the bait and switch. Homeowners are led to believe that they will regain ownership of their homes after agreeing to transfer ownership for the "meantime." While becoming tenants, these former homeowners quickly learn that their rental terms are way too high. Unable to pay their rents, these tenants are evicted out of their former homes.
- The Foreclosure Consultant: This New Hampshire foreclosure rescue scam centers on a foreclosure consultant who promises help to families whom need to stop foreclosure. Of course, this help comes with a price, a large one to say the least. After charging exorbitant fees, the foreclosure consultant either takes the money and runs or does very inefficient work. In the process of being stiffed out of their money, families who need to stop foreclosure are left with even more financial difficulties.
What the Amended New Hampshire Foreclosure Bill Would Do!
The Concord Monitor story detailed that House Bill 365 was amended to specifically address these types of stop foreclosure rescue scams. The story added that the amended version of this New Hampshire foreclosure bill would attempt to anticipate the growing number of these schemes by prohibiting these unfair transactions, requiring disclosures to homeowners and also offering means in the Consumer Protection Act to curtail these "stop foreclosure" rescuers. Visit our popular New Foreclosure Laws page for the latest updates and details about this proposed New Hampshire foreclosure law.
And if you need to stop foreclosure, get in touch with a local attorney as soon as possible. Foreclosure-Fighter was created with the goal of helping people understand possible options to help stop foreclosure. So whether you're facing foreclosure in New Hampshire, Georgia, Nevada, Texas, Michigan, Colorado, North Carolina, Ohio, Iowa, Indiana, Washington or another state, you need to take action immediately before it's too late.
The best way to do this is to fill out the simple form on this page. Once you do this, we'll quickly get you in touch with an experienced attorney in your area who can assess your current financial situation and help you determine if refinancing, debt workout plans, Chapter 13 bankruptcy or other foreclosure options may help you stop foreclosure and keep your home.