Homeowners struggling to make their mortgage payments should not have to pay pricey fees to firms that claim they can negotiate with lenders for them.

In recent years Illinois Attorney General Lisa Madigan, as well as other state attorneys general, have sued several firms for foreclosure rescue fraud. The attorneys allege that the firms tell homeowners they can work with lenders to reduce their payments and save them from foreclosure. But after collecting fees, the companies failed to negotiate or perform any services for the homeowners, according to Madigan's office.

Madigan has sued 34 mortgage foreclosure rescue operations in recent years. So far, nine of those companies have been barred from operating in Illinois.

U.S. Housing and Urban Development-approved counselors will provide assistance to consumers for free.

Last year many of the complaints filed with, and calls made to, the attorney general's office were related to the state's foreclosure crisis. In 2009, about 4,000 homeowners filed residential mortgage complaints with Madigan's office, up 65 percent from 2008. According to her office, most of the complaints during the first wave of the foreclosure crisis were from homeowners who had received "risky" home loans that they couldn't afford. Around 2008, more of the calls were from homeowners who lost their jobs and could no longer make their payments.

If consumers need help applying for a loan modification or want to talk to a housing counselor, the attorney general's toll-free homeowner help line is (866) 544-7151.

Madigan and representatives from her office recently visited Danville to speak with seniors about consumer scams, particularly related to housing.

Earlier this year, Madigan sued two reverse-mortgage lenders alleging they deceptively advertised to Illinois residents.

There are different kinds of reverse mortgages, but essentially they let homeowners turn their home equity into cash. Reverse mortgages are not inherently bad, but they are not suitable for all consumers in all situations, said Madigan spokesman Scott Mulford.

The lawsuits allege, among other things, that the firms misled consumers into believing the reverse mortgages would be offered only for a short period of time, and the companies' marketing materials gave homeowners the false impression that they would maintain ownership of their property.

To file a complaint with the Illinois attorney general's office, consumers can contact the Springfield consumer fraud hotline at (800) 243-0618 to obtain a complaint form, or they can download one at http://www.illinoisattorneygeneral.gov.

CHRISTINE DES GARENNES