Ironwood Mortgage - Advance Fee Loan Scam

Date Posted: 
Monday, April 9, 2018

Alert number: CA048684_04/03/18(04/19)

The state of Washington Department of Financial Institutions (DFI) has opened a complaint from a Washington consumer against Ironwood Mortgage. The consumer reported that Ironwood Mortgage had requested an advance fee in exchange for assistance in refinancing the consumer’s current mortgage loan. The consumer initially spoke with an individual identified as “Matthew Anderson.” Mr. Anderson requested an initial fee of $1,500 from the consumer, and allegedly promised the consumer that the fee would be returned if the refinance loan could not be approved. The consumer reported that Mr. Anderson would only call back the consumer after the consumer called and left a voice message for the company each time. Eventually, no one from the company would call back the consumer regarding the refinance offer, and the $1,500 fee was never returned to the consumer. These facts have been alleged by the consumer, and have not been verified with the Department.

It appears that Ironwood Mortgage may be engaged in an “Advance Fee Loan Scam” and is requiring payment of an upfront or advance fee in order for the consumer to be able to obtain a loan. It appears Ironwood Mortgage did not provide the consumer with a loan after the consumer paid the advance fee.

The Better Business Bureau has reported that the California Department of Business Oversight filed an action on December 18, 2017 to require Ironwood Mortgage to cease and desist from engaging in the business of lending or brokering loans in California until it obtains licensure. This action was filed based on alleged conduct similar to that described above, and affected another consumer in Washington State.

Ironwood Mortgage is associated with the following contact information:

  • Website: [http://ironwoodmortgagecompany.com/]
  • Phone numbers:
    • 855*477*5940
    • 855*557*9009
    • 424*477*5954
    • 424*477*5959, ext. 301
  • Fax Number: 855*231*4713
  • Address: 1008 N. Avalon Blvd, Suite 127, Wilmington, California 90744
  • Individuals:
    • Mudassir Muhammad Khan
    • Matthew Anderson
  • Alternate company name: Platinum Trust Mortgage

Ironwood Mortgage is not licensed by the DFI and is not registered to conduct business in Washington State by the Department of Licensing, the Department of Revenue, or the Secretary of State. A previously existing company named “Ironwood Mortgage, LLC” appears to have been once licensed by DFI and registered with the Secretary of State, but was dissolved in June of 2015. This company does not appear to be related to the company described above that is purportedly conducting the advance fee scam.

DFI warns Washington consumers that when considering doing business with a financial service provider the consumer can:

  • Make sure that the entity is licensed. Consumers can use the “Verify a License” feature on DFI’s website at www.dfi.wa.gov to check whether a payday or consumer loan company is licensed to conduct business in the state of Washington.
  • Never provide any personal information, such as social security number or bank account number or access if the company is not licensed or authorized to conduct business.

Important Information for Washington Consumers About Unlicensed Lenders

Washington residents only: If you suspect unlicensed activity by a payday lender or consumer loan company, please contact the Department at 1-877-RING-DFI (746-4334), or online at www.dfi.wa.gov. Even if the activity involves a loan you obtained over the internet, a license is generally still required. If a collection agency is attempting to collect a debt from you, you can check whether the company is licensed by the State of Washington Department of Licensing.

Important Information For All Consumers

  • If you received a loan from a lender and someone else is now attempting to collect the loan, collection activity may be subject to the federal Fair Debt Collection Practices Act (FDCPA). If you are contacted by a third party claiming you owe a debt, you can request a “written validation notice,” which must provide the amount of the debt, the name of the creditor you owe, and your rights under the FDCPA. If you have questions regarding federal debt collection laws you can contact the Federal Trade Commission (FTC) at 1-877-FTC-HELP or online at www.ftc.gov.
  • If you feel you have been the victim of a scam you can contact the FTC at 1-877-FTC-HELP (382-4357) or online at www.ftc.gov; or the Consumer Financial Protection Bureau (CFPB) at 1-855-411-CFPB (2372) or online at http://www.consumerfinance.gov.
  • If the scammers already have your bank account information, social security number, or other personal information, you may be a victim of identity theft. You can contact your bank and the three major credit bureaus to take appropriate precautions. The FTC has information for victims of identity theft online at www.ftc.gov.
  • If you feel you have been the victim of a scam involving the internet you can contact the Internet Crime Complaint Center online at www.ic3.gov.
  • If you feel you have been the victim of a financial scam and are concerned about your personal financial information, you can contact your banking institution and the three major credit bureaus. Procedures for contacting the credit bureaus are available on the FTC’s website at www.ftc.gov.
  • If you live in another state, go to this webpage to find the regulator in your home state. http://mortgage.nationwidelicensingsystem.org/consumer/Pages/AgencyContacts.aspx.