BALTIMORE — A Baltimore homeowner fell behind on her mortgage payments after losing $700 to a fake check scam. And it was while she was trying to catch up that she got a call from someone pretending to be her lender offering her a way out of debt.
“He told me that there was a program, the COVID-19 loan modification, and that he could work with me and this is what I would have to do,” said Celestine Smith, who received a text from a man named Mark who claimed to be a representative with Dovenmuehle Mortgage.
Mark told Smith that her property had been listed on the defaulter’s list and if she wanted to qualify for the loan modification program, she’d need to replenish her escrow account then send three months of payments totaling more $5,000.
“Piecing together from my Social Security and my pension,” Smith said she was able to send over the payments in separate transactions. She also cut back on other bills.
“I thought that I had found a lifesaver, which I found out later that I didn't,” said Smith.
She discovered he was an impostor after she was informed that her home was headed to foreclosure sale with a date set for the auction.
“That really put me in a very bad place. I have, I've been dealing with depression, since my husband and my mother both died the same month and I’m not fully through with it. But that really did send me over the deep edge because I really thought I had somebody to help me, and I wouldn't have to confess to my children that I'm in trouble,” said Smith.
However, Smith was left with no other choice, and knew she’d have to tell her children if she wanted to keep her home.
“I was so used to doing things on my own taking care of my own, you know, that I just didn't feel that I should have asked them because they have families of their own,” said Smith.
She now wishes she'd spoken with them sooner. She also called St. Ambrose Housing Aid Center, a local non-profit that assists with housing and financial counseling. They advised her to send a letter explaining everything that happened.
And she contacted Reporter Mallory Sofastaii, who reached out to Dovenmuehle Mortgage. In an email, a spokeswoman wrote:
“Dovenmuehle is not the lender, but strictly a sub servicer on behalf of the lender. Dovenmuehle is not aware of the described scam, and has contacted the lender who has agreed to postpone the foreclosure sale.”
Smith is now working to get approval for the real loan modification, which would reduce her payments, so she can stay in her home that holds so many memories.
“My husband and I moved in in 2008. We went to settlement on the 19th. And I said oh, it would be lovely if I woke up on my birthday in my house. Well, he made it happen. I woke up on the 23rd in my home,” said Smith.
Smith added that “Mark” knew her name, address, phone number, and that she had fallen behind on her payments. This is all public information, but she felt it gave him legitimacy.
Before giving away any private information, borrowers should hang up and call the company directly. Or contact a certified housing counselor for free help.
Homeowners facing foreclosure are at higher risk of these scams because they're in a desperate situation, and this information is available online. So, it's that much more important to verify the person you're speaking with and to report these scams to law enforcement.