Debt Collector and Mortgage Scam Calls

This scam involves phony debt collectors posing as attorneys, debt collection agencies, or law enforcement officers demanding immediate payment on delinquent loans or on loans consumers received but for amounts they do not owe. Often times, consumers are threatened with lawsuits or arrests, if payments are not made.

An India based telephone call center over a period of six months posed as debt collectors for government agencies, credit card companies and businesses. They sent “mules” or “runners” to collect the money, immediately. $1.5M dollars were scammed from 3,000 people before they were caught.

During 2015-16, the FTC and 70 law enforcement and regulatory partners brought more than 165 actions against illegal debt collectors. The FTC went after 20 unlawful debt collection enterprises. We added 44 collectors to the banned debt collectors list in 2016 alone, and won three important summary judgements.

Mortgage scammers falsely claimed they can lower consumers’ mortgage payments and interest rates or prevent foreclosure.