I received an interesting call from my mother two days ago. She had been contacted by someone regarding her mortgage. He told her she could get a loan modification and here is how, "Don't pay your mortgage. When you receive a letter from the lender regarding the late payments I will contact them on your behalf. They will make arrangements to modify your loan. My fee is $299, but you will save at least two months of regular payments."
My heart sank. I asked, "Are you late? Why did this person call you?" She explaned she hadn't been late but has an ARM (adjustable rate mortgage) and he mentioned he knew. My question is how did he know? He also told her the rate was about to go up.
I am glad she called to let me know about the latest scam. She was smart enough to ask him to send an email regarding the conversation. He was dumb enough to do it. She sent a forward to me and I am going to report him at the highest level of authority I can find.
If you are late on your mortgage payments, ARM or not, there are professionals that can help you. Seek the advice of your local Realtor. Don't believe you can scam your lender with the help of someone who sounds like they know how.