Homeowners often receive solicitations of many different kinds.
They may be offers for home repairs and improvements, loans for debt consolidation or other credit needs. Older Americans who borrow against their homes should be aware that if they fail to make the required payments on the loan, whether because of loss of income, ill health, or because the contractor has failed to complete the repairs as agreed, their home can be taken away in foreclosure. And while some companies offering these services are reputable, many others are only interested in how much money they can make and will say and do anything to achieve their goal. They bear little or no risk in these ventures since the homeowner's property is their ultimate security. There are, however, important steps that a homeowner can take to avoid becoming a victim of second mortgage fraud, which ultimately could lead to foreclosure.