Many families are dealing with a cut back on their family income, and it can be comprimising being able to make the mortgage payments. Loan modification is an adjustment to the original terms agreed upon with the bank. Three things can be adjusted; interest, amount owed, and length of the loan.

These possible changes have a vast group of homeowners considering and checking into the loan modification advertisements, often seen on Yahoo, Bing and Google. The Office of the Special Insepector General for the Troubled Asset Relief Program, SIGTARP, has shut down mortgage modification scams where the advertiser promises to lower the homeowners' mortgage for a fee. The victims are promised that the Troubled Asset Relief Program called HARP will be used. The fee is paid but no loan modification is produced. The biggest sign is when someone tells them to stop all contact with their lender, and stop making payments.

 "SIGTARP's work in cutting off these internet advertisements will immediately and dramatically decrease the scope and scale of these scams by limiting their ability to seek out and victimize struggling homeowners" said Christy Romero, Deputy Special Inspector General for SIGTARP. "SIGTARP will investigate and hold accountable criminals who defraud homeowners in connection with HARP, while doing everything we can to stop homeowners from becoming victims in the first place."

If you, or someone you know, are considering a loan modification, the safest path is to do this directly through their lender or mortgage servicer. In addition, there are HUD approved house counselors who are available at 1-888-995-HOPE (4673) or

Remember people, if is sounds too good to be true it probably is, keep your eyes open during these turbulent times.

Posted by David Hughes on


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