What’s worse than confusing legislation? Creepy companies that try to capitalize on it.
Here’s what we just received in the mail today… On the outside, we’re notified that we’re holding a “SECURED DOCUMENT” which we must “Open Immediately – Time Sensitive Information Enclosed” for our “Economic Stimulus Package Recovery Act.” A picture of the White House is on the outside of the envelope; you have to open it by tearing the strips on the sides (kind of like your economic stimulus checks).
Inside, there’s an “Important Notice” from the President himself. At the top of the page, it says in bold letters: “There are 7-9 million people across the country who, right now, could be taking advantage of lower mortgage rates – President Barack Obama”
Follows is a note, written over a screened photo of the Statute of Liberty, with the text:
President Barack Obama signed into law the American Recovery and Reinvestment Act of 2009, which contains $800 billion in economic stimulus spending and tax relief designed to help homeowners in the current economic climate. “This will aid homeowners and homebuyers in dealing with the volatile mortgage market,” said HUD Secretary Shaun Donovan.
And what, pray tell, kind of tax relief are we talking about? Um, I’m not sure. You see, the whole thing is a not so clever advertisement for mortgage refinancing. The ad said I could find out more if I called my “Government Rate Reduction Specialist” – so I did. I called to find out what that title meant exactly. The first person to answer the phone apparently didn’t know. I was subsequently transferred to a gentleman who, when I asked what a “Government Rate Reduction Specialist” was told me that would be him. He explained that was given the title because it related to a government program and he was a specialist because “I do it all the time.” Well, there you go.
To clarify, the “government program” that they’re apparently alluding to is either HAMP (Home Affordable Modification Program) or HARP (Home Affordable Refinance Program), both programs aimed at struggling homeowners. I can’t tell *exactly* since the ad never says. But since this offer references ARRA (the American Recovery and Reinvestment Act of 2009) and the guy on the phone told me that the loans were part of a government program, I’m assuming that’s where they were going with it. Again, the ad, in the midst of its quotes from the HUD Secretary and the President, is actually short on real details.
The brainchild of this lovely advertisement is Integrated Financial Group, Inc. (“IFG”) which looks to be out of Newtown, PA. I don’t know a thing about them. They could be a first rate group for all I know.
But I am disappointed at the advertisement. Don’t tout tax relief in your ad – there’s no tax relief here. And don’t talk about your government programs as if they are something new and exciting and available to everyone. They’re not. They’re tailored to specific homeowners and I get the feeling that those folks aren’t really the ones who this ad is meant to attract.
The Tax Code and the various economic relief plans as put forth by the government are confusing enough to taxpayers. It would be nice if companies focused on helping taxpayers understand relief available to them instead of simply exploiting it.
Watching Washington create opportunities for scams in the guise of trying to fix their previous idiocy could be a national pastime.
I just received a similar letter from a local car dealership company (which also happens to be authorized by Toyota).
I’m very concerned because of how ‘legitimate’ this notice looks, and I think that it really walks a fine line between aggressive advertisement and a scam.
Would you suggest reporting this? And if so, where would be a good place to start?
Thanks.
Dana, I don’t know. I suspect they’ve had these things cleared by their legal so I don’t know if complaining to the authorities would help. But it might be a good idea to let Toyota know that you think it’s inappropriate.