Philadelphia hotline targets mortgage fraud

People are still losing their homes to scammers. The city of Philadelphia is partnering with a non-profit to keep homeowners from being defrauded.

“Don’t sign, call the hotline,”

Mayor Michael Nutter issued the challenge to people who are thinking about refinancing or trying to use a service to avoid foreclosure. Edward Harper is a senior citizen with about a hundred thousand dollars in equity in his home who was almost scammed out of his property after signing a deal with a company to prevent foreclosure.

“I was told that my mortgage would be paying $1,200 a month at the time I was only paying $500 a month, this was double plus.”

Those facing foreclosure can call a new hotline 215-334-4663 for help navigating through the process to prevent foreclosure. Callers can be referred to free lawyers if necessary.

Philadelphia is rolling out the hotline in coordination with the non-profit Neighborhood Works America. The group is helping set up similar hotlines around the country.