Freddie Mac has issued a warning about a rise in fraudulent housing activities as consumers navigate an economically challenging period. The government-sponsored enterprise emphasized the importance of vigilance against predatory lending practices that may include confusing terms and exorbitant fees. To combat these deceptive practices, Freddie Mac advises potential borrowers to seek advice from HUD-certified counselors for clarity on loan agreements.
Renters and homeowners alike are targeted by scammers, with specific caution being raised against foreclosure rescue fraud, which often involves false promises of saving homes from foreclosure. Individuals facing distress are encouraged to directly consult with legitimate loan servicers or Housing Finance Agencies for authentic assistance.
The warning also extends to renters, urging them to thoroughly inspect properties and read leases with care to avoid falling victim to rental scams, which can often be spotted through poor grammar in listings and implausibly low rates. In addition, consumers are advised to research the reputation of moving companies and confirm they have proper insurance to prevent moving fraud.
Freddie Mac stresses the importance of immediate action for those who suspect they have been scammed. This includes contacting creditors to block potential identity theft, freezing credit reports, and reporting the incident to authorities such as the Federal Trade Commission (FTC) and the Consumer Financial Protection Bureau (CFPB).
To support consumer education on these matters, Freddie Mac has made fraud prevention resources available through its online platforms. Additionally, community feedback on these issues is being gathered via a pulsepoll.com survey, offering participants a chance to win a $1,000 prize.
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