A New Scam is Targeting Bankruptcy Filers

Foreclosure Mitigation Service Fraud

We have recently learned about a very troubling scam that is affecting people in Middle Georgia who have filed for Bankruptcy and are faithfully making payments on their Bankruptcy plans. It's a particularly dastardly scam involving "foreclosure mitigation service", and is so troubling to us that Divis Law LLC has teamed up with Cliff Carlson Law, P.C. and Daniels Law LLC to put a stop to it.

The basics of the scam are this:

  1. The victim has filed, and is making payments, or will soon be making payments, on a Bankruptcy plan.
  2. The victim is called by a business that identifies itself as a "foreclosure mitigation service" or something like that. The business tells the victim that the victim can avoid foreclosure without completing the bankruptcy plan.
  3. The victim is told to abandon the bankruptcy case, and make payments to the "foreclosure mitigation service."
  4. The victim makes payments to the "foreclosure mitigation service."
  5. The "foreclosure mitigation service" doesn't do anything; they just bag the money.
  6. The actual mortgage company sends the victim a few mailings, but the
    "foreclosure mitigation service" tells the victim to ignore them.
  7. The actual mortgage holder forecloses and the victim then finds out that the payments to the "foreclosure mitigation service" was a sham.

If you are currently paying into a bankruptcy plan and are contacted by such a service, it's probably a fraud. Do not be sucked in by it.

If you have been deceived in this way, contact Divis Law, Cliff Carlson Law, or Daniels Law. We are working to bring justice to the victims of this scam.

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