By Mary Ellen Podmolik | The
state of Illinois filed lawsuits Monday against two firms that offer
reverse mortgages to senior citizens, alleging that they used unfair
and deceptive marketing practices.
A suit filed against Woodridge-based Hartland Mortgage Centers, Inc. in Cook County Circuit Court. The Illinois Attorney General's office also filed a lawsuit in Sangamon County against American Advisors Group, Inc., based in Irvine, Calif., and its president, Reza Jahangiri.
A suit filed against Woodridge-based Hartland Mortgage Centers, Inc. in Cook County Circuit Court. The Illinois Attorney General's office also filed a lawsuit in Sangamon County against American Advisors Group, Inc., based in Irvine, Calif., and its president, Reza Jahangiri.
A Home Equity Conversion Mortgages, commonly referred to as a reverse mortgage, allows a homeowner who is age 62 or older to borrow money against the equity they have in their homes. The loans are repaid when the homeowner dies, sells the property, or does not live in for 12 consecutive months.
The suits allege that the companies wrongly marketed the loans by, among other things, stating in direct-mail solicitations that homeowners could be eligible for lifetime monthly income or lump-sum payments that are part of government benefit programs offered to all seniors and that do not have to be repaid. In fact, the companies were offering loans that eventually must be repaid, the suits state.
The advertising also allegedly misled consumers by stating that the loans would be offered only for a short period of time and that the companies were somehow affiliated with a governmental agency.
The suits allege that the companies wrongly marketed the loans by, among other things, stating in direct-mail solicitations that homeowners could be eligible for lifetime monthly income or lump-sum payments that are part of government benefit programs offered to all seniors and that do not have to be repaid. In fact, the companies were offering loans that eventually must be repaid, the suits state.
The advertising also allegedly misled consumers by stating that the loans would be offered only for a short period of time and that the companies were somehow affiliated with a governmental agency.
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All these reverse mortages are bad news for seniors.
We need reverse elections too
And HOW LONG have these companies been ripping off senior citizens in Illinois ???
This office seems to catch on to frauds a bit too late, in my opinion.
THAT is because the office is a cess pool of DEAD BEATS, SLACKERS and INEPT employees.
OH WAIT ... This IS Illinois ..... completely ACCEPTABLE.
WAKE UP PEOPLE !!! VOTE THE BASTARDS OUT !!!!
I admire the valuable info you offer in your articles. I will bookmark your blog and check up here often.
Usually a home can be spared from forclosure or other difficulties with the right loan modification program.
Lisa Madigan is the best attorney general and a asset to the people of illinois., Anyone looking to rip off resident in this state should know that lisa madigan will be knocking on your door.
Wow! what an idea ! What a concept ! Beautiful .. Amazing …