Scams are nothing new, but, there are plenty of second mortgage loans and scams that appear to be very genuine. Unfortunately, in the world we live in, scammers are around every corner waiting to take advantage. The worst part is that most of the scams appear very genuine and that unless you’re aware of them, you could fall into the trap. When taking out second mortgage loans, you’re at risk of being scammed, but that’s the unfortunate world we live in today. So, here are two mortgage scams you must be aware of. More details!
The Foreclosure Mortgage Scam
Foreclosure is never something you want to be faced with, but you never know what’s around the corner. Falling behind on your mortgage payments is very easy to do and after so long, the bank will start to take action. Unfortunately, scammers look out for properties in foreclosure and about to enter into foreclosure. What the scammers do is ‘offer’ a loan which will allow them to save their foreclosed home. However, the homeowners must transfer the ownership of the home over to the con artist. Homeowners will make payments believing their property is safe when in reality the scammer has taken the money and scarpered into the night! Even with second mortgage loans there is a risk of foreclosing so you need to know about the scam.
The Classic Bait And Switch Scam
You look for a loan, whether its second mortgage loans or another and a lender offers a deal that looks fantastic. The lender offers an extremely low rate and it looks genuine enough so you sign the contract; within a matter of a few days, possibly weeks, the lender comes back to you and says they can’t offer the original rate and ups the price. You’ve been reeled in with the promise of a low rate and once you’ve signed on the dotted line, you’re on the hook for a higher rate. It happens more often than you think and it’s the classic bait and switch scam that happens most days.
Always Check On the Lender and the Small Print
A lender looks legit, but you can’t be sure. You have to do your homework essentially to ensure you aren’t being scammed. Of course, it’s not something you want to do or should have to but it’s the world we live in! Scammers are waiting to take your money so you have to be extra careful. Also, take careful note of the small print of any loan agreement or contract. More often than not you get caught out with the small print and that’s something you have to be wary over. You can look at second mortgage loans but before you sign ensure you read the small print in full. It’ll cover your back more than you realize. Click here for more information: https://ezinearticles.com/?Be-Aware-of-Foreclosure-Scams&id=440425
Don’t Be a Victim of a Scammer
Being scammed or conned is easy! Anyone with a plausible story can reel you in! The smartest people get sucked into a scammer’s web of lies; and even when you think you’ve done enough to cover your back, it’s not good enough. The trouble is that scammers are smart and believe those in a desperate situation will hand over their money without thinking twice. It happens, but that is why you have to put a stop to it. You have to be smarter and be brave enough to walk away from a deal you aren’t certain over. You may be looking for second mortgage loans but if you smell a rat, it’s time to walk.