'Federal Loan Modification Bureau' Wraps Itself in Fake Flag
Here's another would-be mortgage middleman trying to look like it's affiliated with the U.S. government and pretending it's a consumer watchdog.
We called the phone numbers several times, and found it difficult to get an answer despite all the options. However, when we dialed the number to report a potentially suspicious company, we did get a live person named Michael on the phone, at about 12:45 p.m. Friday, April 17. Michael re-iterated his company was like the Better Business Bureau, but said its database of companies wasn't available over the Web. We also told him about Home Rescue LLC trying to charge us $2K up front for a "loan mod," as he called it.
In Florida, California, New York and a couple of other states, he said, it's illegal to ask for money up front unless you are a law firm. Bingo! We said. Home Rescue LLC is not a law firm, and we're in New York. Are you affiliated with the federal government? we asked. No, Michael replied, "we're like the Better Business Bureau," with some emphasis. In other words, the Better Business Bureau isn't affiliated with the government, either. Too bad the Federal Loan Modification Bureau doesn't say that on its site, which is festooned with more patriotic stars 'n' stripes regalia than Oliver "The Crying Marine" North's Web site.
After a while, we saw where our brief chat with Michael was really going: He took our name and phone number, said he would "check out" Home Rescue LLC, and by the way, he knew of at least two or three legitimate loan modification services in my area. We expect them to be getting in touch shortly.
This site ranked high in a Google search for loan modification, and, like Michael told us, says on its about us page that it's like the Better Business Bureau. The site's registered to a Scott Parker of 1383 N. Killian Drive, Lake Park, Florida, which is behind a K Mart off Old Dixie Drive and, unfortunately, doesn't look like one of West Palm Beach's toniest properties. Scott also registered the Web site for mortgage broker Lincoln Funding, which is housed somewhere in this Longwood office park.
But we can guess from our chat with Michael, and from what's on this page, that FLMB is really just a lead generator. In other words, you leave your name, address, and the name of some company you want to report, and you get a call back from FLMB or one of its affiliates trying to sell you -- you guessed it -- expensive loan modification services.