McKenna
SPOKANE, Wash. (Legal Newsline) - A defunct foreclosure rescue company on Wednesday reached an agreement with Washington Attorney General Rob McKenna after he accused it of ripping off customers.
The former owners of United Home Savers in Clearwater, Fla., will have to pay $100,000 in civil penalties if they ever engage in the alleged activity again. McKenna said the company provided little or no help to troubled homeowners and would not refund $1,200 it charged up front, even though it promised to if it wasn't successful.
"The company promised to rescue homeowners from foreclosure while looting the emergency change jars of families already at high risk of losing their homes," McKenna said.
The complaint and settlement agreement were filed Wednesday in Spokane County Superior Court. The complaint alleged violations of the state's Consumer Protection Act, Credit Services Organization Act and Commercial Telephone Solicitation Act.
The Federal Trade Commission has also sued United Home Savers, seeking restitution for all consumers who lost money. If it is unsuccessful, McKenna said he will have to petition Spokane Superior Court for refunds.
From Legal Newsline: Reach John O'Brien by e-mail at john@legalnewsline.com.