ILNews

Attorney general sues home loan modification companies

Back to TopCommentsE-mailPrintBookmark and Share

Indiana Attorney General Greg Zoeller has filed five lawsuits against companies around the country he claims have scammed Hoosiers trying to keep their homes. Since 2006, the AG’s office has filed 110 suits against foreclosure consultant companies.

The companies – Freedom Equity Savings of Ohio; Integrity Mortgage and Credit Solutions of Florida; Provident Law Group Inc. of California; Nationwide Mediation Services of California; and Global Equity Solutions, also know as Peachtree Consultants of Georgia – are accused of violating Indiana’s consumer protection laws and taking more than $11,300 from six customers living in Hamilton, Lake, Marion, Parke and Union counties. The companies promised to reduce the homeowners’ interest rates or monthly payments in exchange for an upfront fee.

Some customers paid as much as $3,000 before realizing there were no changes to their home loans.

The suit claims the companies violated the Credit Services Organization Act, the Mortgage Rescue Protection Fraud Act, the Home Loan Practices Act, and Deceptive Consumer Sales Act. The companies didn’t register a $25,000 surety bond with the AG’s office to conduct business as foreclosure consultants in Indiana.

Because default judgments against these types of companies often don’t end up with the victims receiving any payments for their financial losses, the Consumer Protection Assistance Fund was created by the Indiana Legislature. In April, the fund, which is administered by the AG’s office, paid $22,571 to victims of foreclosure-rescue and/or consumer mortgage fraud. More than 70 victims received payments totaling $60,000 from the fund in December 2011.

The fund is made up of money recovered from those sued by the AG’s office for violating consumer protection laws.

 

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Why in the world would someone need a person to correct a transcript when a realtime court reporter could provide them with a transcript (rough draft) immediately?

  2. This article proved very enlightening. Right ahead of sitting the LSAT for the first time, I felt a sense of relief that a score of 141 was admitted to an Indiana Law School and did well under unique circumstances. While my GPA is currently 3.91 I fear standardized testing and hope that I too will get a good enough grade for acceptance here at home. Thanks so much for this informative post.

  3. No, Ron Drake is not running against incumbent Larry Bucshon. That’s totally wrong; and destructively misleading to say anything like that. All political candidates, including me in the 8th district, are facing voters, not incumbents. You should not firewall away any of voters’ options. We need them all now more than ever. Right? Y’all have for decades given the Ds and Rs free 24/7/365 coverage of taxpayer-supported promotion at the expense of all alternatives. That’s plenty of head-start, money-in-the-pocket advantage for parties and people that don’t need any more free immunities, powers, privileges and money denied all others. Now it’s time to play fair and let voters know that there are, in fact, options. Much, much better, and not-corrupt options. Liberty or Bust! Andy Horning Libertarian for IN08 USA House of Representatives Freedom, Indiana

  4. A great idea! There is absolutely no need to incarcerate HRC's so-called "super predators" now that they can be adequately supervised on the streets by the BLM czars.

  5. One of the only qualms I have with this article is in the first paragraph, that heroin use is especially dangerous because it is highly addictive. All opioids are highly addictive. It is why, after becoming addicted to pain medications prescribed by their doctors for various reasons, people resort to heroin. There is a much deeper issue at play, and no drug use should be taken lightly in this category.

ADVERTISEMENT