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Local News

Loan Modification Scam


An alleged loan modification scam in Ashland serves as a reminder to consumers.  The State is taking action against "Home Rrescue" for allegedly collecting $1500 from a homeowner with the promise of stopping a foreclosure and getting a loan modification.  Lisa Morawski with the Department of Consumer and Business Services says a big up front fee is not only a red flag, it's also illegal in Oregon.   Anything more than $50 for services related to help with debt violates state law. "So if somebody is promising to lower your credit card debt by 20%, they can only charge a $50 upfront fee for that." The State says the Ashland company, home Rescue, violated several state laws and was fined $30,000.  Also, there is free help for homeowners facing possible foreclosure.  That number is 1-800-SAFE-NET.


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