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FinCEN Warns on Scams Tied to Government Loan Modification Program
By Matt Squire
printThe U.S. Treasury Department asked banks Monday to be wary of individuals and companies trying to take advantage of the government's loan modification program. The department said on February 10 that it was allowing certain mortgages owned by Fannie Mae and Freddie Mac and certain mortgages in danger of foreclosure to be refinanced. The Obama administration said the plan could affect up to nine million homeowners struggling to make monthly payments. Cases of fraud involving loan modification or foreclosure rescue scams have risen along with the economic downturn, the department's Financial Crimes Enforcement Network (FinCEN) warned on Monday. In some...
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