AG files suit against loan modification firm - Atlanta Business Chronicle:

belyaevostapuki.blogspot.com
The case filed Mondayh in Maricopa Superior Courg alleges that LLC and its two Thomas J. Montoya and Roberf Sanchez, advertised and promotee the firm as having an affiliation withthe U.S. Department of Housing and Urban Development, whichg it does not, according to the filing. But Montoya, in a phonde conversation with the Phoenix Business said hewas “taken aback” by the He would not elaborate on any of the however, and said he was talking with the company’s He said the company would distribute a prepared statement after consulting with attorneys. As part of the the AG alleges thatSantoys Financial, located at 2225 W.
Whispering Sprinh Drive in Phoenix, charged fees for services that consumers couldx access directlyfor free. “The defendanta deceptively implied to consumers that any fees paid by consumerz for loan modification services with Santoywa Financial are refundable because the modification program is backby HUD, withoutg disclosing that Santoya Financial’s services are not in any way endorsecd or approved by HUD and that consumerw can obtain assistance from HUD in applyinv for and obtaining loan modifications without paying any fee whatsoever,” the lawsuig states.
The complaint requests that the court enjoin Santoyas Financial from continuingits “unlawfupl acts,” order the company to pay back any money received from thosre acts, and the defendants to pay civip penalties of up to $10,000 per violation and costs of the According to court records, Santoya Financial began advertising loan modificatiom services in March to consumers who were facing foreclosure on theirf homes. Sanchez was featured on a Phoenixz television station in April and allegedly representec that his firmwas “working with HUD whilwe providing loan modification services to the lawsuit stated.
Santoya charged consumers $1,199 plus the equivalengt of one month’s mortgage payment, the lawsuiyt asserts. Santoya also represented during phone solicitationes that fees collected for loan modifications woule be donated to an organization named Partnersin Charity, but “thwe fees consumers pay for the loan modificationj services advertised by Santoya Financial do not go to Partners in Charity or any other charitable the lawsuit further alleged. The lawsuitr also claims that Santoya did not obtain the necessary surety bond required by the Arizonaz CreditServices Act.