Key takeaways
- Most companies can’t legally charge you for mortgage relief until you accept a written offer from your lender.
- Never sign your deed over to anyone outside a real closing with a closing attorney.
- Keep paying your lender, not a third party who promises to handle it.
- Free help is available from HUD-approved housing counselors.
Why homeowners in foreclosure are targeted
In Georgia, foreclosure sales are advertised in the county’s legal newspaper for four weeks. That public notice is meant to protect the process, but it also tells scammers exactly who is under pressure and how much time they have.
8 red flags
- Upfront fees. Under the FTC’s Mortgage Assistance Relief Services rule (Regulation O, 12 C.F.R. part 1015), most for-profit companies can’t collect a fee until you have a written offer from your lender that you accept.
- “Sign your deed over to us and we’ll save your home.” Once you transfer title, you may lose the home and your equity, while still owing the mortgage.
- “Pay your mortgage to us and we’ll pass it on.” Always pay your servicer directly.
- Guarantees. No one can guarantee to stop a foreclosure or win a modification.
- Lease-back or buy-back schemes where you sell cheaply and rent the home with a promise you can buy it back later.
- “Don’t talk to your lender, lawyer or counselor.” Legitimate help never isolates you.
- Pressure to sign today, or documents with blank spaces or terms you don’t understand.
- “Forensic loan audits” or similar paid reports promised to make your loan disappear.
What a legitimate sale looks like
- Everything is in writing, and you get time to read it and ask questions.
- The sale closes through a Georgia closing attorney, who pays off your lender directly.
- You don’t pay anything upfront, and you don’t transfer your deed outside of that closing.
- You’re encouraged to get independent advice from a counselor or attorney.
Where to get help or report a scam
- HUD-approved housing counselor: 800-569-4287 or hud.gov/findacounselor
- Georgia Department of Law, Consumer Protection Division: 404-651-8600 or consumer.georgia.gov
- Federal Trade Commission: ReportFraud.ftc.gov
- Consumer Financial Protection Bureau: consumerfinance.gov/complaint
This guide is general information for Georgia homeowners, not legal, tax or financial advice. Laws and lender practices change, and every situation is different. Talk with a HUD-approved housing counselor (800-569-4287) or a Georgia attorney about your circumstances.