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Recently there have been companies posing as Mortgage Rescue Centers. They claim to be able to assist distressed homeowners, going into foreclosure, by bailing them out.
To the investor that is interested in getting "in" on a piece of the action, one group promised a 50% return on your initial investment within 6 weeks. The woman running the scams in California, Nevada and Georgia collected over $18 million from unknowing people, thinking they were helping others.
Funds were provided to the first investors in, from money collected from the next group of investors. There was actually no help provided to distressed homeowners behind on mortgage payments or going into foreclosure, at all.
The woman behind this extravagant operation used $1.9 million of the money collected for her own wedding, honeymoon and expensive cars.
For additional information you can go to Clark Howard.com
Has anyone else heard of any of these kinds of scams, that we should alert people to?
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