The Better Business Bureau of Southern Arizona issued a warning against an organization posing as Fannie Mae and Freddie Mac mortgage lending companies.
Scam organizers sent out letters announcing a lottery that gives people who lost a home a chance to buy another.
According to the letter, the F & F Equity Draw has $50 million to give away.
The letter also states that some people have won as much as $5 million.
When BBB representatives contacted the company, they were told to wire the company $850 in processing fees before they can collect their winnings, according to a news release.
Consumers should verify the identity and legitimacy of an organization before sending any information or money.
If you receive a letter via postal mail proclaiming you are a winner, contact your BBB at 888-5353 or the local postal inspector’s office at 388-5311.
If you receive the notice in an e-mail, report it to the Federal Trade Commission at http://www.ftc.gov">www.ftc.gov.