Hello all, I'm new. I'm a 22 year old daughter posting mostly on behalf of my parents and out of concern for what they got themselves into. I believe my parents got themselves scammed by some group (?) of people who promised to modify their mortgage. I just learned most of these details today which raised some red flags for me. Also, this takes place in SF Bay Area, California.

My mom answered an ad that was in the Pennysaver about loan modification, the company was USMAC Financial Services and the person who helped was John Rapp (ph # 1-800-485-8055 x5034).

They made my parents sign a contract and pay $3,500 (by credit card) up front to John Rapp I believe. They assigned a lawyer named Christian M. Dillon to our case, and some documents we received from his office were very unprofessional and had no signature of his on any of them. Also, one of the documents were supposed to be signed by his case managers named Melissa Holland and Lori Fitch, but it's a fake cursive computer font.

John Rapp also instructed my parents to be delinquent on their mortgage for 2 months, and one of the people in Dillon's office denied anyone ever saying that. It's going onto the 3rd month now, and someone from the Dillon office now instructed my parents to pay $1000 for the mortgage (which probably isn't possible since the mortgage company wants the full sum due, our monthly mortgage is around $2800). These suggestions seem very shady to me, and I could foresee losing the house if they'll lead us on like that and do nothing about it.

Some other details are that the Dillon office was instructed by my parents to call their cell phones if they want to contact them since they're almost never home during their hours due to work. However, they keep calling the wrong phone number and it seems like they're trying to avoid contact. And once my mom actually does manage to get in contact with them, they're mostly clueless. For example, she was told that another person had her file, so she had to call that person, then that person said another person had her file, etc.

When I heard of this today, I checked on the internet about this and found some writings by people that seem to indicate that this whole thing is a sham, and that this Christian M. Dillon lawyer seems to be involved in a lot of these companies. I checked on the BBB website on his company's rating and they weren't good, so I wonder if he keeps making new companies until their ratings get very bad or what.

Anyway, my parents are now treating this as a scam and are going to call the mortgage company tomorrow to find out if this lawyer's office even contacted them or anything. The problem with that though, is that the Dillon office warned that our mortgage company will deny having contact with them and try intimidating us which is believable, so it's sort of hard to know who to trust. I'm also contemplating whether or not a charge back for the $3500 will be possible if the contract is as unprofessional as the rest of the correspondence and has no real signature, but I won't know about that until tomorrow (Also I'm wondering if it is lawful for a person such as John Rapp to accept the upfront payment on behalf of the lawyer, since I don't see him on the DRE directory).

I'd appreciate any opinions or thoughts on this matter. I apologize if this is long and confusing too, it certainly is for me. Also, who should we trust about this and where can we report this if it is a scam? I mostly think we will need to consult a lawyer about this too, so if anyone knows someone who deals with this in the SF Bay area, California, that would be great. Thank you.

Enter Your Samebox Message:

Sorry, that was me who posted this topic, not "Guest."

Enter Your Samebox Message:

I am wondering if your parents could do a chargeback on thru their credit card company for services not rendered.

I googled this company and there is something are a couple of posts about them, neither good.

Enter Your Samebox Message:

USMAC loan modification scam - are they really a scam?
i wanted to know if you know anything about "New American Funding" my family and i plan on using them and with your story about your parents it makes me worried, iam also sorry for it happening to your parents.

Enter Your Samebox Message:

Unfortunately, the loan mod industry is so new you can't even rely on BBB rankings for most companies. What good is "having no complaints" if the company in question has only been in business since the economic meltdown last fall?

From what I've read, if you are going to do business with one of these companies make sure it's operated (not just owned but OPERATED) by licensed realtors, mortgage brokers, attorneys, etc. - i.e., someone that is regulated in your state and can be held accountable for malfeasance.

Enter Your Samebox Message:

USMAC loan modification are preying on your parents misfortune and have stolen your money.you need to do chargeback asap you can do the loan modification yourselves you tell the bank what you can afford and thats it its very simple you go and get the documents online somewhere like trueforms or hire another company but you need to act fast if it gos over 6 months you wont get your money backpay your mortgage how would you pay some morons and not pay your mortgage...you pay your mortgage first theres people out there willing to do the loan modiifcation on a payment plan shop around screw using an attorney there to over priced and have no integrity..use a realtor or mortgage broker there more personable and are more familiar with this territory attorneys are trying to use there title to turn a quick buck

Enter Your Samebox Message:

As a real estate professional, and someone who works with people who need modification, I'm sorry your parents experienced this. These people have worthwhile advice, I couldn't have said it better

Enter Your Samebox Message:

__________________
making the banks pay you

My husband had triple bypass surgery and we always paid the mortgage but got behind on other bills trying to keep up. Someone from his company recommended this company, I got suspicious and decided to call this company and started asking questions but the lady that answered suggested we not pay the mortgage and get behind which made me want to cringe at the thought of how we struggled to make sure that we were never late. She said that because we faced a hardship, Their expert attorneys could work with the mortgage company in a way that would not be possible for us. But when I started asking questions I quickly learned that she wanted to call all of the shots. She then got frustrated with my questions and her response was for me to have a nice day and hung up. She thought we could get our interst reduced from 1-4% but would cap in about 5 yrs. For a price of 3500.00 I did not see how that would bennifit me because I was under the assuption that they would lower the price to what the house would be worth with todays market value. She said that sometimes they do and sometimes they dont..The conversation was to shady for me. I had to know specifics and that is when she told me to have a nice day

Enter Your Samebox Message:

What a HORRIBLE experience with USMAC law group!! I hope your parents don't lose their home!! Is it possible they can call the Mortgage Co., themselves, and try to work something out? I know sometimes it seems impossible ( in this day and age, anyway), but, you never know. I would call the CC company and explain the issue and see if you can get your money back.

Enter Your Samebox Message:

To: krova2oo4

I sent you a quick message. Did you receive it OK?

Could you please update us on the situation with your parents?

Also, did you see this article:

'Help' Can Be Costly:
Beware up-front, nonrefundable fees of loan-modification pros
businessweek.com/magazine/content/08_48/b4110042396970.htm

Perhaps the whole problem is a lack of communication due to
the number of cases that Dillon took on? The article above
stated that they got 1700 calls in just one day (how many more
came in later?). This doesn't excuse them of course, but maybe
they just don't have it together when it comes to handling hundreds
of clients.

Anyway, whatever is happening, I would like to know what you have
found out so far, if anything. If you determine that fraud is truly happening,
you should have no problem having the credit card company do a chargeback.

Please check the message I sent you at this forum
because it has some more interesting INFO.

Thanks,

Eugene

Enter Your Samebox Message:

If the mortgage company tells you not to make your payments, then they are bogus. In addition, if you have an NOD filed on your property they are NOT allowed to charge an advance fee.

Contact your mortgage company or use an attorney for the Loan Mod!!!

Enter Your Samebox Message:

My parents are considering using Christian Dillon and asked me to check him out for them. I've heard some good and bad but sensing maybe he is not the one. Can anyone suggest another person. I'm hearing that it's a must to use an attorney.

Enter Your Samebox Message:

I am in the process on doing a loan modification with a company in Santa Rosa CA
SIMPAC DOC LLC, address is 19 courthouse Square, ste 208, Santa Rosa CA 95404- phone 1-800-236-1186-lic 01378482-
I am in the process in fill in out the paper work, I have not mail any money to them yet
The fee is $485.00 - I am getting $200.00 if they are not able to lower my payments.....what is your advice? Please help me out.
Thank you very much ,
Awaiting for your reply

Enter Your Samebox Message:

Sorry to hear about this situation. There are people out there taking advantage of this challenge homeowner time.
It is best if people take some time to get a simple education on how to do loan modification themselves. Save on the fees.

Enter Your Samebox Message:

I am using this company right now- USMAC law group /Dillon and we also were instructed to not make payments (we were current on our loan) and it is going on the fourth month now of not paying. I contacted a local lawyer and he advised us to contact our mortgage company asap because it can still go into forclosure. We were also told the account would be frozen and NOT effect our credit - well USMAC /Dillon Law Offices lied. It IS on our credit report and now we have to pay late fees on the mortgages in additional to all the back payments. We can not get an answer from anyone either, we are just told it will be done soon and don't worry. Stay Away!

Enter Your Samebox Message:

My '2 cents'?..if you can't get clarification on answers that you are looking for, from so-called 'Modification Companies', then i would go along with their 'program'. If it's becomong a 'struggle', you probably don't need them anyway. :wink:

Enter Your Samebox Message: