Mass AG Settles Suit With Ex-BofA Loan Officer For Allegedly Exploiting Status As Bank Employee To Run Loan Mod Ripoffs Targeting Strapped Homeowners

In Boston, Massachusetts, the Boston Business Journal reports:

• A former Bank of America Corp. mortgage loan officer accused of tricking distressed homeowners into thinking he was a lawyer will pay $6,250 in restitution as part of a settlement with Massachusetts Attorney General Martha Coakley. Christian Hayes of Danvers entered into the settlement to resolve allegations with the AG’s office.

• “Homeowners who were seeking to save their homes from foreclosure were scammed by a bank employee who used his bank affiliation to gain their trust in seeking to avoid foreclosure,” said Attorney General Martha Coakley. “It is particularly egregious when individuals who are legitimate bank employees exploit this status to take advantage of unsuspecting homeowners.”

• The Attorney General’s complaint alleged that Hayes, through his company Foreclosure Alternatives, demanded up to $1,500 in up-front fees, before negotiating loan modifications to help homeowners avoid foreclosure.

Source: Ex-Bank of America loan officer to pay penalty.

For the Massachusetts AG press release, see Former Bank of America Employee to Pay Restitution for Soliciting Illegal Fees From Distressed Homeowners During Foreclosure Crisis (Loan Officer From Danvers Misrepresented Himself as Attorney; Demanded Illegal Fees in Violation of the Attorney General’s Foreclosure Rescue Regulations).