Scammers have a new target, and this time it’s homeowners. They have homeowners thinking their mortgage provider wants to get in touch with them.
The Better Business Bureau said it is tracking a jump in this homeowner scam.
Some homeowners have received a letter that appeared to have come from their mortgage provider, and it claimed their home warranty must be renewed.
If you get one of these looks closely at the letter and read the fine print.
One person reported their letter said, ‘Not all consumers have previous coverage. We are not affiliated with your current mortgage,’ which was at the very bottom of the letter and in small print.
If you don’t read the fine print, you may end up falling for this scheme, and give away money and personal information to a shady company.
Here’s how to avoid mortgage scams:
- Go to the source. If you receive any calls, letters, or emails about your mortgage or home warranty that you aren’t sure about, don’t use the contact information in the message.
- Instead, call your lender directly. You can find your lender’s information on your mortgage bill or search for it online.
- Watch out for high-pressure offers or threats. If someone tries to use scare tactics, stop communicating with them and contact your bank or lender directly.
- Finally, if you’re searching for a home warranty, do your research.
- Look at several options and read the terms closely before signing a contract.