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RICHMOND (AP) -- Virginia has reached a settlement with a mortgage loan modification company that was accused of illegally charging advance fees to clients seeking foreclosure rescue services.

Attorney General Ken Cuccinelli on Wednesday announced the agreement with Chesapeake-based R.L. Brad Street LLC and its owner Rhonda Wyland.

Officials had sued the company in August 2011 for allegedly violating state foreclosure rescue law by charging up to $3,000 in advance fees to consumers. The company also was alleged to have violated state law in some cases by not making good on promises to help consumers get loan modifications.

It has agreed to stop collecting advanced fees and pay $32,900 in restitution. The company and its owner also will pay a combined $25,000 in civil penalties and reimburse the state $5,000 in legal fees.

AP-WF-08-08-12 1934GMT

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