Question:

What involves mortgage lender fraud?

Answer:

While mortgage fraud can affect thousands of borrowers, mortgage lender fraud does not only strike borrowers; there are many lender fraud cases resulting in multi-million losses for big financial institutions. The FBI and the Mortgage Bankers Association have identified many mortgage fraud schemes for more than $10 Mil, and several over $100 Mil.

The FBI has seriously begun to investigate insiders - RE agents, appraisers and closing attorneys, to prevent large-scale mortgage lender fraud. There are also some big lenders under investigation for committing mortgage lender fraud. Often, appraisers seem to either cooperate with the lender, or are threatened if they refuse to inflate properties' value.

Also, even though fraudsters are going to jail, there is little or no assistance to mortgage fraud victims who suffered foreclosure and whose credit was ruined.

Mortgage rates hit their lowest since 1955. Ask the home loan experts we recommend Quicken Loans how to take advantage of them.
Was this Mortgage QnA helpful?
Not at all
  • Currently 3/5 Stars
  • 1
  • 2
  • 3
  • 4
  • 5
Definitely
Add to this Answer

Mortgage QnA is not a common forum. We have special rules:

  • Post no questions here. To ask a question, click the Ask a Question link
  • We will not publish answers that include any form of advertising
  • Add your answer only if it will contrubute to the quality of this Mortgage QnA and help future readers
If you have trouble reading the code, click on the code itself to generate a new random code. Verification Code Above:
Bookmark and share this QnA: