Sunday, July 19, 2009

Mortgages to Mods: Getting them coming and going

by Calculated Risk on 7/19/2009 11:58:00 PM

“I had people calling me crying, and we were telling them, ‘You can pay me or you can lose your house. People were giving me every dime they had, opening credit cards. But I never saw one client come out of it with a successful loan modification.”
Paul Pejman, a former sales agent for FedMod in Irvine, Calif
That quote is from Peter Goodman's article in the NY Times about ex-mortgage brokers now offering loan modifications: Cashing In, Again, on Risky Mortgages

Goodman mentions this interesting tidbit that Jillayne (at CEForward and RainCityGuide) had previously told me about:
The California Department of Real Estate warns consumers that many dubious loan modification companies have organized themselves as law firms solely to allow them to collect upfront fees, even though the lawyers have little, if anything, to do with the services provided. The department cautions consumers against hiring such companies.