Horne warns of mortgage fraud scam - New York News

Horne warns of mortgage fraud scam

Updated:

PHOENIX (AP) - Attorney General Tom Horne is warning Arizona residents to be on the lookout for a mailer that asks for illegal up-front fees to join a national lawsuit.

Horne says the document appears official and asks people to call a toll free number to become eligible to be part of a lawsuit or make a legal claim against a mortgage lender. He says the pitch asks homeowners to first pay $2,700 for the company to research their claim, then another $2,500 for a lawyer.

Horne says the up-front fees are a violation of Arizona consumer fraud laws.

He says it's just the latest scheme aimed at bilking Arizona homeowners dealing with mortgage problems.

Horne says consumers should be wary of this offer and any similar ones received in the mail.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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