Your Credit Angel, LLC, Las Vegas, Nevada, which purports to assist distressed homeowners in avoiding foreclosure by offering mortgage loan modification services, was issued an order to cease and desist by the Idaho Department of Finance.
“A person engaged as a third party in mortgage loan modification activities in Idaho must be licensed as a credit counselor,” said Gavin Gee, director of the Idaho Department of Finance. Gee said the unlicensed activities of “Your Credit Angel” were brought to the department’s attention by an Idaho customer who reported paying an upfront fee of $1,495 to that company. The customer could not obtain a refund and reported that he got nothing for his money.
In the cease and desist order, the director ordered “Your Credit Angel” to immediately stop offering mortgage modification services in Idaho without a license. “Homeowners can save themselves a lot of heartache and loss by avoiding unlicensed mortgage modification companies that too often turn out to be phantom companies interested only in picking distressed homeowners’ pockets,” said Gee. “Consumers should be wary of large upfront fee requirements for mortgage modification services.”
Department investigators confirmed that the street address used by “Your Credit Angel” is nothing more than a mail drop box in Las Vegas, Nevada. Gee said homeowners having difficulty paying their mortgages should promptly contact their lenders or servicers to explore possible workout arrangements. “Distressed homeowners commonly obtain mortgage workout arrangements directly from their lenders or servicers without paying large upfront fees to a third party,” he said.
The department provides information on a variety of FREE foreclosure prevention resources that are available to distressed homeowners. That information can be accessed at the following website address: http://finance.idaho.gov/Mortgage/ForeclosureResources.aspx.