Toolkit On

Foreclosure Prevention 

& Scam Awareness

For

Faith-Based And Community 

Organizations

Center for Faith-Based and 

Neighborhood Partnerships

U.S. Department of Housing and Urban Development
Shaun Donovan 

Secretary

 A message from Secretary Shaun Donovan:

HUD needs your assistance to raise awareness in your community about help from 

foreclosure prevention programs and the dangers of scams. The Obama Administration 

is fighting mortgage fraud and predatory practices vigorously – providing millions of 

dollars in federal resources and working to get the word out about those who prey on 

vulnerable homeowners. As important as that commitment is, it is no substitute for the 

valuable relationships faith-based and community organizations have with families in the 

community. They know you. They trust you. They respect you -- and so does HUD. 

Like few others, you can speak one-on-one to homeowners at risk of foreclosure or of 

becoming victims in a foreclosure rescue scam. 

That’s why we are providing this important information. The Toolkit on Foreclosure 

Prevention and Scam Awareness for Faith-Based and Community Organizations is 

intended as a guide to provide your church or non-profit with ideas to help you raise 

community awareness. One of the best ways to do this is to publicize the information 

in newsletters, brochures, pamphlets or even by hosting community-wide informational 

workshops. Additionally, a CD is included which highlights government internet web 

pages and allows you to click the links for easy access to these valuable and informative 

resources in multiple languages. 

Whether as faith leaders or community partners, you are the ones we turn to in times of 

need. You are the ones with long-standing reputations in our communities for ensuring 

that the concerns of our most vulnerable citizens do not fall on deaf ears. And so I hope 

you will take advantage of this Toolkit to help us reach as many families as possible. With 

your help, I have no doubt we can make a difference.
CONTENTS

Foreclosures & Scams

What You Can Do for Members of Your Community

Foreclosure Prevention

10 Tips for Avoiding Foreclosure

Scam Awareness

How to Identify Signs of a Mortgage Modification Scam

Advertising

Promoting An Event – Flyers and Invitations

Resources

Foreclosure & Scam Web Resources

Downloadable Audio, Video & Other Print Materials

Where to Report Mortgage, Foreclosure and Scam Fraud
scamS
What You Can Do For Members of Your Community

Ideas on how you can inform members of your community about Foreclosure Prevention 

and Scam Awareness:

 Distribute brochures, pamphlets or flyers at meetings, gatherings, and church services. 

A full list of Government resources can be found in the Resources Section of this Guide/

Toolkit.

• HUD Tips for Avoiding Foreclosure: 

 http://portal.hud.gov/portal/page/portal/HUD/topics/avoiding_foreclosure/foreclosuretips

• HUD’s How to Avoid Foreclosure: 

 http://www.hud.gov/offices/adm/hudclips/forms/files/pa426h.pdf

• FDIC Beware of Foreclosure Rescue and Loan Modification Scams: 

 http://www.fdic.gov/consumers/loans/prevention/rescue/images/foreclosurescam.pdf

• OCC Consumer Advisory: 

 http://www.occ.treas.gov/ftp/ADVISORY/2009-1.pdf

 Publicize and promote the brochures and pamphlets in your church or organization’s 

 office reception area, newsletters, bulletins and church weekly announcements

 Order free materials (brochures, flyers and pamphlets) in English and Spanish from 

 government agencies (see Resources Section)
 Promote homeowner events in your area:

• Making Home Affordable events: 

 http://www.makinghomeaffordable.gov/homeowner_events.html

• Hope Now events: 

 https://www.hopenow.com/upcoming-events.php

 Advertize by posting a web hyperlink to the Making Home Affordable or Hope Now 

 website on your church or organization’s website

Ideas on how you can enlist other church and non-profit leaders in your community 

to raise awareness:

Publicize and promote this Toolkit to your church ministry leaders, organization 

 department heads, or at community leaders meetings

Organize an informational workshop for members of your church or community by 

 partnering with a local city or county government Foreclosure Prevention program, 

 the local HUD office, a Housing Counseling Agency and/or other Federal Agency 

 (see Resources Section)

Seek out your local city or county government’s law enforcement office and make 

 them aware if your members have been victimized and or approached by 

 scammers

Call your local or closest HUD Field Office (www.hud.gov) to assist you in gathering 

 additional resources and information
PREVENTION
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5

2

4

10 Tips for Avoiding Foreclosure

Are you having trouble keeping up with your mortgage payments? 

Have you received a notice from your lender asking you to contact them?

Don’t ignore the problem. The further behind you become, the harder it will be 

to reinstate your loan and the more likely that you will lose your house.

Contact your lender as soon as you realize that you have a problem. Lenders do 

not want your house and want to work with you to resolve the problem. 

Open and respond to all mail from your lender. Your failure to open the mail 

will not be an excuse in foreclosure court.

Know your mortgage rights. Find your loan documents and read them so you 

know what your lender may do if you can’t make your payments. 

Understand foreclosure prevention options. Valuable information about 

foreclosure prevention (also called loss mitigation) options can be found on the 

internet at www.hud.gov/foreclosure.
7

9

6

8

10

Contact a HUD-approved housing counselor. Housing counselors can help you 

understand the law and your options, organize your finances and represent you 

in negotiations with your lender if you need this assistance. To find a local 

agency search the web at http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm or 

call (800) 569-4287 or TTY (800) 877-8339.

Prioritize your spending. After healthcare, mortgage payments should be your 

first priority. Review your finances and see where you can cut spending (cable 

TV, eating out, memberships).

Use your assets. Do you have assets-a second car, jewelry, a whole life insurance 

policy-that you can sell for cash to help reinstate your loan? 

Avoid foreclosure prevention companies. You don’t need to pay high fees for 

foreclosure prevention help. Your lender or a HUD approved housing counselor 

will provide FREE assistance.

Don’t lose your house to foreclosure recovery / rescue scams! Don’t be a victim 

of scam artists who are taking advantage of people at risk of foreclosure. Talk 

to your lender or a HUD approved housing counselor.
SCAM

awareness areness
How To Identify Signs of a 

Mortgage Modification Scam

 Beware of Foreclosure Rescue Scams!

• Scam artists often target homeowners who are struggling to meet their 

mortgage payment or are anxious to sell their homes.

• Beware of anyone who asks you to pay a fee up front in exchange for a 

counseling service or modification of a delinquent loan or who “guarantees” 

that they can stop the foreclosure process. 

Assistance from a HUD approved housing counselor is FREE. 

• Beware of people who pressure you to sign papers immediately, or who 

claim they can “save” your home if you sign or transfer over the property 

deed.

• Do not sign over the deed to your property to any organization or individual 

unless you are working directly with your mortgage company/lender to 

forgive your debt.
• Never make a mortgage payment to anyone other than your mortgage 

company/lender without their approval.

• For homeowners age 62 or older who are thinking about a Reverse mortgage 

(Home Equity Conversion Mortgage/ HECM) beware of scam artists who 

charge thousands of dollars for information that is FREE from a HUD 

approved housing counseling agency.

• Be cautious of companies who are willing to make a donation to your church 

or non-profit as they could potentially use their donation as a means to 

promote themselves as “affiliated” or “endorsed by your church.”
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Need Help With

Your Mortgage?

Learn how you may be able to 

make your mortgage payment

more affordable.

ACT NOW TO GET THE HELP YOU NEED!

Visit www.MakingHomeAffordable.gov

or call 1-888-995-HOPE (4673)

TO:

If It’s Too Good to be True,It Probably Is

Beware of Foreclosure

Rescue and Loan

Modication Scams

To protect yourself from opportunity hunters and frauds: 

 • Contact your lender or mortgage loan servicer and try to

 negotiate a payment plan.

 • Work with reputable non-profit housing or financial

 counselors.  

 • Report suspicious activity.

Read more inside or go to the resources section on the back panel 

for whom to contact for immediate help.

n Programs

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eling

nselor

If you are having trouble making your mortgage 

payment, talk to a counselor who can help you assess 

your financial situation and work with your lender or 

servicer to see if you can avoid foreclosure. 

Non-profit counseling agencies provide free or low 

Avoid Foreclosure Scams

cost foreclosure prevention counseling services. There 

is no need to pay a private company 

for these services. 

Call Homeowners HOPE Hotline at 

(888) 995-4673

The Homeownership Preservation Foundation provides 

non-profit HUD-approved counselors across the United 

States that are dedicated to helping homeowners. These 

counselors can work with you to avoid foreclosure.

Make a Budget, Find a Solution

Professionally trained 

and certified counselors can help you to 

evaluate your current 

financial situation. 

Counselors also will 

help you to figure out 

what options are available and help you find a solu

ion. 

FDIC-033-2009

This booklet explains how property 

owners can avoid losing their homes 

because of delinquent payments. 

Este folleto explica a los propietarios 

de casas como evitar perder su hogar 

debido al incumplimiento en los pagos. 

Para información en español

llame a la entidad que le dió el préstamo.

www.hud.gov

HOW TO AVOID FORECLOSURE

U.S. Department of Housing and Urban Development

Final Output 5/17/2002 12:13 PM Page 1

Advertising
<Organization Name>

<Organization Name>

In partnership with

& <Organization Name>

Homeownership Preservation Clinic

Presents

WHERE:

<DATE>

<Location>

<Address

TIME:

>

<Time

WHAT:

>

Confidential counseling by HUD certified counselors 

with information on:

Foreclosure Pr

Foreclosure Solutions through Loss Mitigation

evention

Fraud Identification and Prevention

Credit Recovery and Budgeting

Space is limited; please call (555) 555-5555 to reserve your space or for more 

information. Please make sure to bring a copy of your mortgage statement and monthly 

budget.

Did you know?

<Insert foreclosure fact about your local community or neighborhood.>

Local HUD approved counseling/education agencies in the area can assist you with 

your housing, credit and foreclosure prevention needs for FREE.

Local government agencies and consumer protection attorneys can help if you have 

become a victim of predatory lending or real estate fraud.

The decrease drop in property values caused by foreclosures creates buying 

opportunities for families looking for a home.

Insert

LOGO LOGO LOGO LOGO

FORECLOSURE COUNSELING EVENT Month Day, Year 

FREE EVENT

Where: Place

 

Address 1

 

Address 2, Zip

When: Day, Month, Year

 Start Time - End Time 

What: Even Description 

 

with information on: 

o Foreclosure Prevention 

 o Fraud Identification and Prevention 

 o Credit Recovery and Budgeting

 o Loss Mitigation

 o Other Activity

Contact Information: Phone Number(s)

Contact Information: email address(es)

website: www.afdjldiukvg.gcljsabb

Facing foreclosure? Questions regarding your 

mortgage, call us and reserve your place: 

Trouble with your mortgage? 

Church/

Organization/

Sponsor Logo

Church/

Organization/

Sponsor Logo

Church/ 

Sponsor Logo

Church/ sample

Sponsor Logo

Promoting An Event – Flyers & Invitations

Create a flyer similar to these for your event and distribute them by mail, at services, 

meetings, block walk or other community events to advertise. 

 
Resources
English: http://www.makinghomeaffordable.gov/index.html

Spanish: http://www.makinghomeaffordable.gov/spanish/index.html

 1-877-622-8525 or 1-800-CALL-FHA

• U.S. Department of Housing & Urban Development (HUD)

English: http://portal.hud.gov/portal/page/portal/HUD/topics/avoiding_foreclosure

Spanish: http://espanol.hud.gov/foreclosure/

• HUD-Approved Housing Counseling Agencies

http://www.hud.gov/offices/hsg/sfh/hcc/fc/

Call: 1-800-569-4287; TDD 1-800-877-8339

• Freddie Mac: Foreclosure & Scams

English: http://www.freddiemac.com/avoidforeclosure/

Spanish: http://www.freddiemac.com/corporate/buyown/spanish/avoiding_foreclosure/

• FannieMae: Foreclosure & Scams

English: http://www.fanniemae.com/kb/index?page=home&c=homeowners

Spanish: http://www.fanniemae.com/kb/index?page=home&c=vision_general
• Loan Modification Scam Alert - NeighborWorks

English: http://www.loanscamalert.org/

Spanish: http://www.alertafraudedehipoteca.org/

Chinese: http://www.loanscamalert.org/chinese.aspx

Korean: http://www.loanscamalert.org/korean.aspx

Vietnamese: http://www.loanscamalert.org/vietnamese.aspx

• Homeownership Preservation Foundation: Foreclosure

English: http://www.995hope.org/

Spanish:http://www.995hope.org/espanol/prevencion-de-la-ejecucion-de-una-hipoteca/

• Federal Trade Commission: Scams

English: http://www.ftc.gov/bcp/edu/microsites/moneymatters/your-home.shtml

Spanish:http://www.ftc.gov/bcp/edu/microsites/moneymatters/espanol/your-home.shtml

• Federal Reserve Board: Foreclosure

English: http://www.federalreserve.gov/consumerinfo/foreclosure.htm

• Comptroller of the Currency – Consumer Advisory

English: http://www.occ.treas.gov/consumernews_foreclosure.htm

• FDIC: Foreclosure & Scams

English: http://www.fdic.gov/consumers/loans/prevention/index.html
Downloadable Audio, Video & Other Print Materials

• Making Homes Affordable

PSA campaign: http://www.makinghomeaffordable.gov/psa/about.html

Additional materials: http://www.makinghomeaffordable.gov/psa/additional.html

Outreach Toolkit: http://www.makinghomeaffordable.gov/toolkit.html

English:

www.makinghomeaffordable.gov/docs/090598%20-%20updated%20mha%20tri-fold%20brochure%20english.pdf

Spanish:

www.makinghomeaffordable.gov/docs/090598%20-%20update%20mha%20tri-fold%20brochure_spanish.pdf

• Freddie Mac: Foreclosure

Toolkit: http://www.freddiemac.com/service/msp/avoid_foreclosurekit.html

• Homeownership Preservation Foundation: 

Foreclosures & Scams

English & Spanish: http://www.foreclosurehelpandhope.org/ads.html
• Federal Trade Commission: Scams

English: http://www.ftc.gov/multimedia/video/credit/mortgage/hope-now.shtm

Spanish: http://www.ftc.gov/multimedia/video/credit/mortgage/hope-now_es.shtm

English: http://www.ftc.gov/bcp/edu/microsites/moneymatters/audio.shtml

• Comptroller of the Currency: Foreclosure & Scams

English: http://www.occ.treas.gov/consumernews_foreclosure.htm

English: http://www.occ.treas.gov/ftp/ADVISORY/2009-1.pdf

• FDIC: Foreclosure & Scams

English: http://www.fdic.gov/consumers/loans/prevention/consumer.html

English: www.fdic.gov/consumers/loans/prevention/rescue/images/foreclosurescam.pdf

• National Fair Housing Alliance

English: http://www.youtube.com/watch?v=cS2HsaBA5No

Spanish: www.youtube.com/watch?v=qQQJ6unRYaY
Where To Report Mortgage, Foreclosure and 

Scam Fraud 

• HUD Fraud Hotline: 1-800-347-3735

English: http://www.hud.gov/offices/oig/hotline/index.cfm

• Financial Fraud Enforcement Taskforce

English: http://www.stopfraud.gov/

• U.S. Department of Justice: United States Trustee Program

English:www.justice.gov/ust/eo/public_affairs/consumer_info/foreclosure_scams.htm

English:www.justice.gov/ust/eo/public_affairs/consumer_info/hamp/video.htm

• Federal Trade Commission

English: https://www.ftccomplaintassistant.gov/

Spanish: https://www.ftccomplaintassistant.gov/Consumer_HomeES.htm

• U.S. General Services Administration: Consumer Action

English: http://www.consumeraction.gov/

Spanish: http://www.consumidor.gov/
• U.S. Department of the Treasury: FinCen–Financial 

Crimes Enforcement Network

English: http://www.fincen.gov/foreclosurerescue.html

• Federal Bureau of Investigations (FBI) – Mortgage Fraud

English: http://www.fbi.gov/hq/mortgage_fraud.htm

• Prevent Loan Scams – A Project of the Lawyers’ 

Committee for Civil Rights Under Law

English: http://www.preventloanscams.org/
Center for Faith-Based and 

Neighborhood Partnerships

451 7th Street, SW

Room 10184

Washington, DC 20410

Tel: 202-708-2404

Fax: 202-708-1160

www.hud.gov/offices/fbci

email: partnerships@hud.gov