Mortgage Elimination Racket Using Forged Lien Satisfactions Filed In Public Records Continues To Suck In Desperate Homeowners Facing Foreclosure

In Stanislaus County, California, The Modesto Bee reports:

• New variations on bogus mortgage elimination schemes are claiming victims throughout Stanislaus County, a fraud authority says. Con artists seem to be targeting Latino homeowners facing foreclosure, and some real estate professionals are getting sucked in as well, said Glenn Gulley, an investigator with the county district attorney's office.

• "A lot of people are getting tangled up in this," Gulley said. His office has brought no charges yet; he confirmed investigations in hopes of warning other potential victims. In the latest variation, people behind on payments are told they can keep their homes by signing up for a new mortgage, typically at 25 percent of what they owe, with lower premiums, plus a fee that's commonly $1,000 to $3,000.

• Fraudsters then file a reconveyance at the county recorder's office, claiming that the legitimate loan has been paid off. Duped homeowners sometimes pay thousands of dollars toward the "new" loan — and still end up losing their houses when the legitimate lender forecloses.

For more, see Mortgage elimination scams hit Stanislaus (Most recent victims speak little, no English).