The ads direct people to the Federal Reserve’s website, where consumers can get tips for avoiding foreclosure scams. The website advises consumers:

–        Work only with a counselor approved by the Department of Housing and Human Development.

–        Don’t agree to work with a counselor who collects a fee before providing services.

–        Be wary of “guarantees.” A reputable counselor will not guarantee to stop the foreclosure process, no matter the circumstances.

–        Understand any paperwork that you sign. Don’t be pressured to do so if you haven’t read it.

–        If it sounds too good to be true, it probably is.

A record 5.4 million homeowners, nearly 12%, were at least one month late or in foreclosure at the end of 2008, and scam artists have been quick to move into the business of “stopping foreclosures.” In fact, there is no way to force a mortgage company to stop a foreclosure, other than by filing bankruptcy. Approved counselors may be able to mediate a settlement between a mortgage company and a homeowner, but consumers should carefully investigate the counselor’s qualifications before paying for such services.