New Standards for Loan Modification Companies in California

The state of California could be considered ground zero for the mortgage crisis and as such, there is no shortage of companies claiming they can save your home.

However, with so many people struggling, fraud has been a rampant concern, even for most of our clients!  Almost half of our clients spent time and money they couldn’t afford to lose attempting to modify their loans with a loan modification company before seeking our help.

Now, even more than ever, homeowners have to be careful about who they choose to work with. It hasn’t been easy to weed out the illegitimate companies.

Fortunately, as California loan modification company crack downs continue and more information comes to light about the practices of predatory companies, homeowners are finding more protection.  Even so, you still have to be extremely careful and do your homework. While there are many things you can do to determine if the company you are working with is legitimate, there is one way that trumps all others. Email or call me and I’ll share it with you!

It seems that state legislators are going one step further with a new law, AB 764. When signed into law it will impose some restraints on those seeking to assist homeowners. It provides more stringent guidelines for how money is collected and more guidelines for services provided to homeowners. I strongly support this legislation and believe it will help weed out those who really do not have any interest in actually helping homeowners.

The Governor is scheduled to sign this new law by October 12, 2009! We will keep you informed.