Consumer Alerts, Warnings and Advisories

COMMUNITY ALERT !!!!!!!!!

ATTENTION HOME OWNERS,

As you may already be aware of the increase in home burglaries in the community, this is just a reminder to take extra precaution to secure your home and your valuables.

There have been several reports of central air conditioning units being stolen from homes, if you don't already have your unit gated and secured, please take the time to do so.

Anthony A. Beale

9Th Ward Alderman

LEGAL ASSISTANCE FOUNDATION OF METROPOLITAN CHICAGO

10 WEST 35TH STREET, 4TH FLOOR

CHICAGO ILLINOIS 60616-3717

312-949-5390 PHONE

312-949-0481 FAX

WWW.lafchicago.org

Be Wary of For- Profit Loan Modification Firms !!!!!!!!!!!!!!!!!!!!!

For those who think that homeowners in foreclosure have lost everything, think again. Most people in foreclosure either have zero equity in their homes or they actually owe more than their home is worth (negative equity ). However, for profit loan modification firms have figured out how to squeeze a few more dollars out of these struggling homeowners before calling it a day. For fees that range from $500 to $3000 or more, they offer to "save" the homeowners from foreclosure by helping them obtain a loan modification.

For- profit loan modification firms do not offer anything beyond the services that Illinois' statewide network of mortgage foreclosure prevention counselors can provide to homeowners free of charge. Many of these for- profit firms are operated by former subprime loan officers or mortgage brokers, the same unscrupulous people who talked consumers into the predatory and abusive loans that put their homes at risk in the first place. Ironically, they tout their experience in the industry as a reason to pay them big bucks in exchange for their assistance in processing a loan modification. However, there is no evidence indicating that those who have sold or negotiated mortgage loans in the past have any kind of special access to lenders or servicers today. They don't have a special phone number to use when they call the servicers. They don't have a special contact person in the loss mitigation department. They don't have information or access to any resource that isn't available to non-profit counseling agencies. In fact they don't have any special training or certification related to assisting borrowers in foreclosure. The for- profit firms basically help homeowners compile and submit information such as hardship letters, proof of income, and other documents servicers typically request when considering loan modification requests. This is a process that Illinois network of counseling agencies has mastered. It is also a process that many homeowners can complete on their own if they are given the necessary information.

These for-profit loan modification firms often make exaggerated claims and misleading statements about what they can do in an effort to convince homeowners to hire them. furthermore, unlike the non-profit counseling agencies which are mission-driven, these firms have no incentive to advice consumers not to seek a loan modification when it's clear that nothing can be done to save the home. for example, when a consumer does not have the income to sustain a reasonable mortgage payment and household expenses, the non- profit counselors will advise the consumer of alternate options which might be better for the family, such as saving their money to pay moving expenses and a damage deposit for an apartment. The for- profit modification firms have every reason not to do this- they are profit driven,and they don't make a profit unless the consumer pays them to seek a loan modification.

Unfortunately, this is not a small problem. The for- profit loan modification business is the only mortgage- related industry that seems to be booming right now. If you Google " loan modification business" you will see hundreds of listings for loan modification businesses, how-to guides for people setting up new loan modification businesses, and job opportunities for loan modification "professional" who can bring clients in the door. What you won't see on the Internet, however, is the price these firms are charging or the actual terms of their written agreements with homeowners.

These firms generally charge between $500 and $3000. They usually require a substantial, up front down payment of somewhere between 50% and 100% of the fee. They do not define what a loan modification is. There are no guarantees about the type of "loan modification" a consumer might get when retaining these services. There is typically no offer to refund the homeowner's money if the firm is unable to secure a suitable loan modification. For example, as many non-profit counselors know all too well, some servicers are offering loan modifications that are really just forebearance agreements in disguise, they do not contain any meaningful changes in the terms or amount of the mortgage loan, and they won't help the consumer stay in his or her home for the long term.

In the best cases, for profit loan modification firms charge a substantial fee to help the consumer obtain a loan modification that the consumer could have obtained on her own or with the assistance of an experienced mortgage foreclosure prevention counselor at no charge.

In the worse cases, these firms are garden variety scams that don't perform any services at all. They exploit the homeowner's fear and desperation by making false promises, and then simply take the money and run. these are companies doing business through a website and a P.O. Box in Texas or Florida, and they're no different from the multitude of other scams out there (foreign lotteries, ect...) that entice consumers with deals that are too good to be true and disappear after collecting an advance fee. The Attorney's General of several states, including Illinois, Ohio and Minnesota, have already sued some of these fraudsters.

The best solution is to avoid these for- profit loan modification firms altogether, particularly in a state such as Illinois where non-profit mortgage foreclosure prevention counselors are available.

While there may be loan for- profit modification firms operating ethically in the community, it can be nearly impossible to distinguish the wolves from the sheep. getting a loan modification that is suitable for the homeowner and will increase a family's chances of maintaining home ownership for the long term (or even the medium term) is the real challenge, and it's something that many former subprime mortgage lending specialists have proven thay are unqualified and unfit to do. Don't give them another bite at the apple.

CITY OF CHICAGO

OFFICE OF THE

CITY CLERK

MIGUEL DEL VALLE

Contact: Kristine Williams

(312) 744-6578

Kristine.williams@cityofchicago.org

City Clerk del Valle Warns Summer Travelers- New Passport

Law Goes Into Effect June 1

New Law Requires All Entering U.S from Mexico or Canada to have Passport

Federal officials anticipate confusion this summer as travelers coming home from Canada or Mexico are now required to show a passport or passport card. To avoid travel disruptions, City Clerk Miguel del Valle is reminding residents to apply early for a passport or passport card for their summer travel plans.

According to the Chicago Tribune, 76 percent of U.S. citizens do not have passports. City Clerk del Valle's expects an increase in passport applications as the summer traveling season nears, which could result in federal processing delays. Beginning June 1, all U.S. citizens entering the country by land or sea must present a passport or government border-crossing passport card that shows their name and proof of citizenship. Both applicatons are available at the City Clerk's office.

"Residents planning to travel internationally and use land border crossings need to apply for their passport now to avoid long delays and possible travel disruptions this summer", stated City Clerk del Valle.

While air travelers have had to show a passport to enter the U.S. from Canada or Mexico since 2007, this summer marks the first time U.S. citizens have to show a passport when entering the U.S. by land. In the past, driver's licenses and birth certificates were sufficient.

To apply for a U.S. Passport for the first time, each applicant must appear in person at an official passport acceptance facility with proof of U.S. citizenship, two passport-specific photos and a valid form of photo identification such as a driver's license or state ID. Complete U.S. Passport services, including photo services, are available at Clerk del Valle City Hall's office at 121 N. LaSalle or at the City Clerk Satellite Office at 5301 S. Cicero Ave. and 5430 W. Gale St.

Passport fees vary for regular service, which takes on average 4 to 6 weeks, or expedited process, which takes on average 3 or 4 weeks. Regular service fees are $75 for adults and $60 for children under age 16. Expedited process is $135 for adults and $120 for children.

Passports cards can only be used to enter the United States from Canada, Mexico, the Carribean, and Bermuda at land border crossings or sea ports-of- entry. The card, also available at the City Clerk's City Hall and Satellite Office, is $45 for adults and $35 for children.

The passport fee must be in the form of a money order or check made payable to U.S. Department of State. There is a seperate $25 execution fee that can be paid in cash, check or money order payable to the City Clerk. For more information about accepted forms of ID, passport photo requirements and a link to the Passport section of the U.S. Department of State's website, please visit the City Clerk del Valle's website at www.ChiCityClerk.com

Press Release 3-26-08

Don't Fall for IRS-Related Scams

If you receive an unsolicited call or e-mail from the Internal Revenue Service, watch out. You're not talking to Uncle Sam.

The IRS recently issued a warning about identity theft schemes using the agency's name.

Since 2006, the Internet Crime Complaint Center has received more than 200 complaints about phishing schemes using the bureau as bait. This year scammers are using new twists on old tricks, including personalized e-mail salutations, live phone calls and the promise of tax rebates, to dupe consumers into divulging sensitive information.

Take care not to fall for the following cons:

1. Rebate phone calls

How it works: The IRS reports that a new scam similar to the refund e-mails that have circulated for years involves phone calls from callers posing as IRS employees. These callers tell potential victims they are eligible to receive a rebate for filing their taxes early. Phony IRS representatives ask for the consumers' bank account information, supposedly for direct deposit. Upon refusal, they will deny the rebate.

IRS spokeswoman Michelle Lamishaw says that scammers like to use current events for their purposes. In this case, fraudsters are using the rebate legislation recently passed by Congress as a lure.

Hang up on anyone calling about tax rebates. Checks will go out starting in May, and consumers will receive letters from the IRS explaining the rebates, not phone calls.

"In any case, the IRS would not call them for bank account numbers or credit card numbers," Lamishaw says. Those who choose to have money direct deposited must include their bank account information on their tax return.

The IRS communicates with taxpayers via the U.S. Postal Service; it does not initiate e-mails or phone calls.

2. Tax refund e-mails

How it works: The refund e-mails -- the more common scam using the IRS's name -- can look legitimate.

They may have appropriate subject line, such as "notification from IRS," and come from e-mail addresses with "IRS" in the domain name.

Tax refund e-mail scams                                                 Wood says refund e-mails usually
                                                                                        present a link to claim the refund, which
Do's:                                                                                 is typically between $100 and $400.
                                                                                        The link takes people to a refund claim   °  Do use a firewall and update your internet security            form on a spoofed IRS site. The bogus
   software.                                                                        form will ask people for personal
°  Do report suspicious phone calls or e-mails from the         information, such as their Social
   IRS to phishing@irs.gov.                                               Security number, credit card number or
° Do visit the IRS's official Web site directly at                     bank account information.
   www.irs.gov if you have a question.
                                                                                        That data would be a goldmine of
Don'ts:                                                                              information to criminals, who could then
° Don't click on links or open attachments from                    sell it on the black market or use it to
   unsolicited e-mails from the IRS.                                       commit identity theft.
° Don't give out any personal information to
   anyone calling on behalf of the IRS                                    Don't get curious if you come across
° Don't divulge any personal information in an                       one of these e-mails. Simply clicking
   online form to claim a tax refund.                                       on a link can download malward
                                                                                         designed to allow remote control
                                                                                         of your computer or a hunt for bank
                                                                                         account information on your PC.

"Just clicking on a link is enough to become a victim of ID theft,"says Lamishaw.

Rest assured the IRS won't e-mail taxpayers about their refunds. Those who expect a refund should use the IRS' Where's My Refund tool to track down funds.

3. Audit e-mails

How it works: This new scam employs a scare tactic, rather than the promise of money. Taxpayers receive an e-mail warning that their federal tax return will be audited. Like its popular cousin, the refund e-mail, the message provides a link to complete a form asking for personal information.

These e-mails may greet the potential victim by name. According to Wood of Message Labs, scammers may use contact information gleaned from social networking sites and contact lists from compromised computers to target their e-mails.

While people may not notice the personalized salutation, they are more likely to notice, and dismiss, a generic greeting.

The IRS does not send out unsolicited e-mails or phone taxpayers.

4. Check verification phone calls

How it works: Someone posing as an IRS employee calls consumers, telling them the IRS mailed them a check that hasn't been cashed. The caller will then ask for the taxpayer's bank account information.

In reality, the IRS will not contact you about a check you never cashed. To see what happened to a refund you're expecting, use the IRS' "Where's My Refund?" tool.

Bottom line: The IRS corresponds with taxpayers through the U.S. Postal Service. Consumers should report unsolicited phone calls and e-mails from the IRS to phishing@irs.gov.

Immediate Release
November 3, 2008

City Clerk del Valle Cracking Down on Fraudulent Stickers
New technology will stop counterfeiters

City Clerk del Valle's office is impounding vehicles and levying stiff fines for fraudulent city sticker purchases.

"This is a simple issue of fairness," stated City Clerk del Valle. "We all bear the responsibility, through purchasing a city sticker, for patching potholes and fixing our city streets. By purchasing a fraudulent city sticker, these people are skirting our shared responsibility which will not be tolerated by my office."

$765 is the minimum fine for counterfeit vehicle sticker purchaser to get their car out of the city auto pound. These stiff penalties were imposed through an ordinance that City Clerk del Valle authored, which passed the City Council last year. This ordinance mandates a $500 citation on top of the $150 towing charge and $115 late-fee city sticker.

Strict procedures are in place to ensure that only vehicles bearing fraudulent stickers are towed. First, investigators visually determine that the city sticker is fraudulent. This is confirmed by checking the City Clerk's records against the vehicle on the street.

In addition, City Clerk del Valle is working to secure funding to move to a print-on-demand city sticker. This system would print an encrypted barcode on each city sticker, allowing city ticket writers to check the sticker's validity. Also, the vehicle's license plate number would be printed on each city sticker. This would make counterfeiters easier to catch as each vehicle sticker would be unique and the equipment used to create print-on-demand vehicle stickers is highly specialized.

"The City Clerk's office is committed to providing the necessary resources to help protect residents from falling victim to this deceptive practice," stated City Clerk del Valle.

On City Clerk del Valle's website (www.ChiCityClerk.com), resident's can learn about the security features that allow them to identify a fraudulent city sticker. The best advice is to only purchase vehicle stickers from authorized dealers and never purchase stickers from individuals and not for less than cost.

FRAUD_GAS_COMPANIES.doc (23 KB) - 9/07

Riverdale_Police_Dept.doc (23 KB) - 9/07

HOW_TO_PREVENT_ID_THEFT.doc (23 KB) - 5//07

City of Chicago

REVENUE DEPARTMENT

False Burglar Alarm Fact Sheet

The new Municipal Code citation for the False Burglar Alarm program is chapter 8-4-056;
Permits costing $34 were eliminated for Commercial/ Business False Burglar Alarm users (residential users were never required to have a permit) ;
False Burglar Alarm violations are no longer issued to residences;
Enforcement Exemptions: Any system installed to protect any premises used primarily for residential, educational, religious or charitable purposes or used primarily used by a unit of government or school district;
Fine: $100 per offense;
Payment is generally due within seven days from the violation date. However, if payment is received before a scheduled hearing date, the hearing will be cancelled and the violation will be considered resolved. All prepayments must be post prior to the court date. Otherwise the case will be defaulted for the maximum penalty ( $100 plus an administrative fee of $40);
Violations can be contested at the pre-scheduled hearing. Hearings are scheduled 30 days from the date of violation;
Defenses

The burglar alarm was activated by:

a temporary surge or loss of electrical power or loss of telephone service to the burglar alarm user;
the testing or repairing of telephone or electrical lines or equipment outside the premises if prior notice of the testing or repair is given to the Department of Police;
Unusually violent conditions of nature;
an illegal entry, theft or robbery, or an attempt thereof
an observable act of vandalism.

The burglar alarm user have taken all reasonable measures to eliminate false alarms. Those reasonable measures must include all of the following.

Using a burglar alarm system that is installed and maintained by a licensed private alarm contractor;
having documentary evidence that the alarm system was installed, inspected or tested by a properly licensed private alarm contractor within the previous 12 months;
Making every reasonable effort to have a responsible person arrive at the protected premises within 45 minutes if requested by the Department of Police or Office of Emergency Management and Communications, in order to deactivate the alarm system, provide access to the alarm location .

For more information, Call the Department of Revenue: 312-747-4747.

It's Fire Prevention Week 2009

STAY FIRE SMART!

Don't Get Burned

A home fire is reported every 45 seconds, killing nearly 2,900 people and injuring more than 13,000 annually. Each year, roughly 180,000 people visit U.S. hospital emergency rooms with burns. Fire Prevention Week 2009 focuses on ways to make homes fire safe and prevent painful burns. By following simple safety rules, you can " Stay Fire Smart!"

Don't Get Burned

_{Keep hot foods and liquids away from table and counter edges so they cannot be pulled or knocked over.}
_{Have a 3-foot "kid Free" zone around the stove.}
Never hold a child in your arms while preparing hot food or drinking hot beverages.
Teach your child that hot things hurt.
Be careful when using things that get hot , such as curling irons, ovens, irons, lamps, and heaters.

Cool A Burn

^{Treat a burn right away. Put it in cool water for 3 to 5 minutes, then cover the burn with a clean, dry cloth. If the burn is biggers than your fist or you have any questions, get medical help right away. Remove all clothing, diapers, jewelry, and metal from the burned area.}

^{Just Right?}

^{A scald injury happens when contact with hot liquid or steam damages one or more layers of skin.}
^{To avoid hot water scalds, set the thermostat on your water heater to no higher than 120 degrees F.}
^{Older adults' and infants' skin burns more easily than adults'.}
^{Young children should never be left alone in the tub or shower or near a sink.}
^{Consider having "anti- scald" devices on tub faucets and shower heads to prevent scalds.}
^{Test the water before placing a child or yourself in the tub. The water should feel warm, not hot. Before you put your child in the tub, test the temperature with your wrist, elbow, or the back of your hand. Don't rely on the tub with a temperature indicator, such as a drain plug that changes color to indicate too hot, too cold, and just right.}
^{Test the hot water at the tap using a cooking thermometer. Run the hot water up to two minutes before testing. Bath water should be no more than 100 degrees F. Retest the temperature several times to be sure the temperature is safe. Even when using a thermometer, use your wrist , elbow, or the back of your hand as your guide.}

^{The Heat is on...}

^{Have a 3- foot kid- free zone around open fires and heaters.}
^{Use a fireplace screen to keep sparks inside the fireplace.}
^{Keep things that can burn, such as paper , bedding, or furniture, at least 3 feet from heaters.}
^{Have heating equipment and chimneys cleaned and inspected each year by a professional.}
^{Make sure your portable space heater has an auto shut off- if it tips over, it will shut off.}

^{Cooking with Caution}

^{The leading cause of fires in the kitchen is unattended cooking.}
^{Pay attention to what you are cooking. Stay in the kitchen when you are frying, grilling, or broiling food.}
^{If you must leave the room , even for a short time, turn off the stove.}
^{If you have young children, use the stove's back burner whenever possible.}
^{Keep children and pets at least 3 feet away from the stove.}
^{When you cook, wear clothing with tight fitting or short sleeves.}
^{Allow food cooked in a microwave to cool for a few minutes before you take it out.}
^{Open microwaved food slowly. Hot steam from the container can cause burns.}

^{Take it outside}

^{Smoking is the leading cause of fire deaths.}
^{Ask smokers to smoke outside.}
^{Give smokers deep, sturdy ashtrays.}
^{Never smoke if you are tired and have taken alcohol, medicine or drugs that make you sleepy.}
^{Keep smoking materials away from things that can burn, like bedding, furniture, and clothing.}

To Learn More ....

www.firepreventionweek.org