HUD Charges Home Loan Modification Companies with Violating the Fair Housing Act


The U.S. Department of Housing and Urban Development recently issued a “Dear Colleague” Letter to alert people to recent charges made against Californian home loan HUD Logomodification companies targeting Latino homeowners. The companies allegedly exploited the homeowners’ limited-English proficiency and used deceptive marketing in Spanish, at times making false representations, in order to mislead them.

The letter is copied below. If you suspect that you or someone you know has been the target of such discriminatory practices in Connecticut, please contact the Commission Regional Office near you.


Dear Colleague,

HUD announced today that it is charging three Modesto, California, home loan modification companies and nine of their agents with violating the Fair Housing Act by targeting Latino homeowners for illegal or unfair loan audit and loan modification assistance because of their national origin. Read HUD’s charge.  Read the full press release attached.

HUD anunció hoy que está levantando cargos contra tres compañías de modificación de préstamos hipotecarios en Modesto, California, y a nueve de sus agentes por posiblemente violar la Ley de Vivienda Justa al dirigirse hacia dueños de casa latinos con falsas promesas de asistencia de modificación de préstamos o auditoria de préstamos que se describe como ayuda ilegal o injusta y buscaron a personas por su falta del dominio del inglés o por ser originarios de otro país. Lea el cargo de HUD (en inglés). 

This is sent to you from the U.S. Department of Housing and Urban Development   (HUD) and the Office of Fair Housing and Equal Opportunity .  Please share this information with your contacts.

We welcome any feedback or requests for additional information.  Should you have any questions, please do not hesitate to contact us.