USA/Home Mortgage Fraud—
Victims of a huge mortgage fraud scheme are getting refunds from a nearly $3 million settlement. The California Department of Financial Protection and Innovation joined with the Federal Trade Commission to investigate and stop the fraud. “This case shows what’s possible when state and federal partners work together with purpose to crack down on fraud, hold bad actors accountable, and deliver justice for victims. ” California Governor Gavin Newsom said in a press release today.
Back in February of 2024, a federal judge in California reportedly ruled a fraudulent mortgage assistance relief scheme convinced vulnerable homeowners into sending their mortgage payments to t a group of scammers under the pretense of getting lower interest rates and saving their homes. The scammers operated from telemarketing call centers, which contacted distressed homeowners.
The schemers used over a dozen business names, including Golden Home Services, Academy Home Services, and Home Matters USA. The court banned these businesses and ordered them to pay millions of dollars in penalties and restitution. The FTC is now mailing out refund checks to affected homeowners.
Consumers involved in the case with questions about refunds should visit the FTC refund web page. Californians who have experienced unfair or deceptive practices from a financial service provider can file a complaint online with the DFPI.
