Florida Foreclosure Defense Lawyers Blog

A former Lender Processing Services (LPS) employee, Adrian Lofton, gave a sworn statement to a New Jersey court investigating mortgage fraud. In his statement, Mr. Lofton alleges that LPS employees sometimes altered the bank's records. When a mortgage goes into default, LPS becomes the manager of the loan. The problem is that LPS employees are then given access to the bank's entire database to reconcile any inconsistencies on the account. Because LPS employees were encouraged to work as quickly as possible, corners were cut and files were manipulated.

Some of the manipulation that has taken place on these mortgage files may never be discovered. Therefore, it is very important that you contact a Florida Foreclosure Defense Lawyer if you are in default on your home mortgage. You should have your loan documents reviewed for inconsistencies between the amount that LPS claims is due and owing and the amount that you actually owe.

A new group of scammers; calling themselves forensic loan auditors, mortgage loan auditors or foreclosure prevention auditors are the latest part of an ever growing group of people attempting to exploit financially distressed homeowners, says the Federal Trade Commission. These groups charge an upfront fee of several hundred dollars in exchange for reviewing your mortgage documents to ascertain whether the bank complied with all lending laws when processing your loan. The "auditors" make promises that you can use their report to reduce your loan principle, accelerate your loan modification, or even avoid foreclosure.

Individuals who are in default on their mortgage are the ones most often targeted in these types of scams. The FTC lays out several warning signs that individuals should watch out for when looking for foreclosure prevention assistance:

-Guarantees to stop the foreclosure process-no matter what your circumstances are
-Instructs you not to contact your lender, lawyer or credit or housing counselor
-Collects a fee before providing any services, accepts payments only by cashier's check or wire transfer
-Encourages you to lease your home so you can buy it back over time
-Recommends that you make your mortgage payments directly to it, rather than your lender
-Urges you to transfer your property deed or title to it
-Offers to buy your house for cash at a fixed price that is inappropriate for the housing market
-Pressures you to sign papers you haven't had a chance to read thoroughly or that you don't understand

While these types of scams are becoming more common, distressed homeowners need to know that there are genuine options available to help save your home. By contacting a Florida Foreclosure Lawyer you are taking the first legitimate step towards saving your home. A Jacksonville Foreclosure Lawyer understands the legal defenses to foreclosure and will fight to save your home.

While a Forensic loan audit can be a useful tool in defending a foreclosure in Florida, one must be careful what they are purchasing and the representations that are made.