California Loans News

The Wisconsin Department of Justice filed suit against 21st Century Legal Services, Inc. due to a violation of a state law regarding the solicitation and advertising of alleged loan modification programs to a number of Wisconsin homeowners.

The complaint claimed that the alleged asked for loan modification consulting services through mail, telephone, and email. These messages were addressed to distraught homeowners who were threatened of foreclosures. The company tries to make initial contact with homeowners through telephone calls. Follow-ups were conducted by sending representatives of the company to prospective clients’ homes. These representatives are local notaries who were hired to visit homes of possible buyers and to acquire signatures on sales agreements. The complaint also charges the defendant guilty of instructing the notaries not to leave copies of signed agreements with customers and to collect fees in advance of services.

According to Van Hollen, these events serve as a warning to con artists who plan to deceive homeowners. These misconducts will not be tolerated by the Wisconsin Department of Justice. “My office continues to work with the Department of Agriculture, Trade, and Consumer Protection and the Department of Financial Institutions in identifying and prosecuting companies who commit fraud against already vulnerable homeowners”, Van Hollen added.

The suit filed with a Dane County Circuit Court accuses the violation of several state laws which include the behavior of making misrepresentations in conducting sales, the failure to provide customers with signed copies of sales agreements, the failure to disclose names of representatives engaging in face-to-face solicitations, and the act of employing telemarketing services that violate Wisconsin’s No Call’s laws.

Other states have also started to file complaints against the 21st Century Legal Services, Inc. The NBI has also started to raid different offices of the said company located in the state of California.

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