Loan Scam Alert Campaign

Date: 
May 9, 2011

NeighborWorks America launched a national scam education campaign in October 2009. Local campaigns are being undertaken in Philadelphia and other cities to help combat mortgage foreclosure and associated rescue scams. This campaign offers a two-pronged approach to keep Philadelphians in their homes. The first is to identify homeowners who are having trouble making monthly mortgage payments and link them with the SaveYourHomePhilly hotline and free housing counseling. The second is to identify possible fraud and prosecute offenders.

For homeowners who are struggling to pay their mortgages and remain in their homes, becoming ensnared in a foreclosure “rescue” scam makes resolving a mortgage problem much more difficult, and in some cases it can preclude a resolution. 

The Urban Affairs Coalition is coordinating the Philadelphia campaign. “The tragedy of a foreclosure prevention scam is that it leads homeowners who are struggling to save their homes from foreclosure down a path which does nothing to improve their chances of keeping their homes in the long run. By following this phony path they forego other, legitimate paths that offer real possibilities of saving their homes,” said Sharmain Matlock-Turner, president and CEO, Urban Affairs Coalition. 

The campaign will enhance the City’s successful Mortgage Foreclosure Prevention Program, which links homeowners with housing counselors and requires lenders to meet face-to-face with their clients to negotiate the terms of a loan before proceeding with foreclosure.

The campaign urges homeowners to call the SaveYourHomePhilly hotline (215-334-HOME) through which they will be connected to free housing counseling services. Homeowners may also access information via the internet at www.SaveYourHomePhilly.org.

Partners in the campaign are: NeighborWorks America, Urban Affairs Coalition, Philadelphia Legal Assistance, New Kensington CDC and the City’s Office of Housing and Community Development.