Debt Relief Scams Leave You Further in the Hole

The Muskego Police Department has teamed up with the Better Business Bureau to bring you various scams and how to avoid them. This week's scam couldn't be more ironic, as it preys on people looking for debt relief. 

In these challenging economic times, many people are looking for help getting out of debt or are fearful of losing their home, and almost as many scammers appear to take advantage of these desperate situations.

As the federal government announced or expanded several mortgage relief programs this year, all kinds of sound-alike websites have popped up to try to fool consumers into parting with their money. Some sound like a government agency, or even part of BBB or other nonprofit consumer organizations.

In one scenario a woman paid $499 to a company that promised to lower the interest rates on all of her loans, and the money she would save per month outweighed the fee they charged. However - you guessed it - her interest rates were no lower, and the company refused to refund her money.

Consumers can take charge themselves, and at no cost, by contacting all of their creditors to work out a lower interest on their loans, or figure out a payment plan.