HUD Launches New Campaign Against Housing Fraud
By Charlene Crowell -
According to the federal Department of Housing and Urban Development (HUD), approximately three million families have already lost their homes to foreclosure since 2007. But the worst may be yet to come, analysts now predict that as many as eight million more Americans could face foreclosure in 2012.
With so many desperate homeowners looking for solutions, a new type of consumer fraud found a ready market.Families struggle to survive in their homes can be gullible and financial companies that offer shady mortgage guaranteed or change a decision of foreclosures already underway. Often, aggressive sales pitches for distressed homeowners claim that serious financial problems may disappear as soon as the payment of fees in advance is made. Requests from other calls for the sharing of personal financial information over the phone or online to quickly resolve a dilemma housing.
The spread of these scams, and consumers now have other trigged a new campaign by HUD and other consumer groups with the double objective. Know It. The avoided.Report, it is a new campaign that aims to: 1) direct owners facing foreclosure to housing resources and trusted advisors, and 2) seek the support of the owners to stop fraudsters targeting communities color and the elderly. The campaign includes the support of the Federal Trade Commission, NeighborWorks America, and the Lawyers' Committee for Civil Rights under Law. Using a combination of traditional and social media, the effort will also be multilingual brochures, posters and leaflets as well as outreach activities in several hard-hit areas like Miami, Chicago and Los Angeles.
"You can not go around Miami without seeing all these promises to" help "and the result is that too many people are taken advantage of," said Ed Jennings Jr., Regional Administrator, Southeast HUD.
"With millions of homeowners in foreclosure or at risk of losing their homes as they fall behind on mortgage payments, and eight million Americans are expected to face foreclosure now until 2012, the timing of this campaign could not be more careful, "continued Jennings." When you know better, you do better.