Attorney General sues VB company

VIRGINIA BEACH, Va. (WAVY) - Attorney General Ken Cuccinelli has filed a lawsuit against a Virginia Beach-based company for reportedly charging illegal advance fees before performing services.

According to the Office of Cuccinelli, the lawsuit has been filed against the mortgage loan modification company National Foreclosure Solutions, LLC. Cuccinelli says the company has been charging “illegal advance fees before performing ‘foreclosure rescue’ services for its customers.”

Document: Lawsuit against company

The Foreclosure Rescue law does not allow a company to charge or receive a fee before completing the services it agreed to perform if it doesn’t involve the sale or transfer of residential property.

“We will not tolerate foreclosure rescue companies taking advantage of homeowners in desperate straits by charging advance feeds in violation of the law,” Cuccinelli said. “My offices remains committed to protecting Virginia consumers.”

The lawsuit requests the court to instruct National Foreclosure Solutions to stop violating the Foreclosure Rescue law and refund any money collected. The lawsuit is also asking for civil penalties of up to $2,500 per violation, the coast of the investigation of up to $1,000 per violation and attorneys fees.