With more than 50,000 active VA loans in Missouri, and nearly 3 million nationwide, Claire is working with the Department of Veterans Affairs (VA) and the Consumer Finance Protection Bureau (CFPB) to protect Missouri veterans from predatory VA Home Loan Refinancing scams. Protecting consumers from scams – especially those using government agencies as their cover – has long been a priority for Claire, including IRS impersonation scams, Veterans Choice scams, and federal contracting scams targeting small businesses.

Please share this page with anyone you know who could become a target of this despicable practice.

THE PROBLEM:

Veterans with a VA home loan are being targeted with unsolicited offers to refinance their mortgages that appear to be official, but are too good to be true. According to CFPB, these solicitations often promise:

• That veterans can skip several mortgage payments
• FACT CHECK: The VA specifically prohibits lenders from advertising skipped payments for an Interest Rate Reduction Refinance Loan. This is a big red flag.
• That veterans can receive cash back from their escrow account
• FACT CHECK: The amount you receive in this case depends on how much money was left in your account when the loan is closed, and veterans may receive far less than initially promised by the lender.
• That veterans can qualify for extremely low-interest rates
• FACT CHECK: These low-interest rates often are for 15-year fixed rate mortgages or an adjustable-rate mortgage, but lenders may be intentionally vague or misleading to get veterans interested in 30-year fixed rate mortgages to respond and engage.

Veterans targeted by these lenders may also be on the receiving end of particularly aggressive sales tactics, designed to intimidate and coerce retired servicemembers.

If you are a Missouri veteran and have been negatively impacted by one of these VA Home Loan Refinancing scams, please submit your experience using the form below. If you require assistance in dealing with the scam, one of our caseworkers will be in touch.

ADDITIONAL RESOURCES THROUGH CFPB AND VA:

If you are considering a new VA home loan, refinancing through a VA home loan, or have questions about an existing VA home loan, the Department of Veterans Affairs has specialists available Monday – Friday, 7:00 a.m. – 5:00 p.m. Central. Their phone number is (877) 827 – 3702.

If you have a problem with refinancing a VA mortgage, you can submit a complaint online to CFPB.

As a reminder, you can always add yourself to the federal government’s National Do Not Call Registry to reduce unwanted telemarketing calls. Simply dial (888) 382 – 1222 from the phone you’d like to register, or sign-up online.

Learn more about additional resources available through CFPB and the VA through this joint “Warning Order” on the CFPB website.