Pay Per Click: an Online Marketing Strategy for Legal Copy : Mortgage Fraud p.2

How You Can Be Implicated

Individual buyers and sellers can become liable in court in a variety of ways.

A mortgage-loan scheme might involve:

• Name discrepancy between loan forms and personal ID
• False personal finances information
• Interest-rate switching at closing time
• Exaggerated appraisal of property value

Buyers or sellers are involved when agents or loan officers change or insert fake information on loan documents, W-2s, pay statements or other supporting records. Being asked to sign papers with blanks, ostensibly to be filled in later, is one of the more obvious ways in which this can happen. Closing documents that differ from earlier drafts or promised loan terms spell danger for those making the transaction. Falsifying employment verification, for instance, can result in multiple charges, including wire fraud, conspiracy and presentation of false statements. See the Mortgage Fraud Report for news on current actual cases.

How Wire Fraud Charges Arise

Misstatements of personal financial information may not come to light until a larger crime has been revealed. In mortgage-fraud cases, a conspiracy between agents, investors, appraisers, lenders and title company officers may be in play. When illegal funds actually change hands following the closing process, bank wire transfers are the usual method. If you have been led to present fictitious or incomplete information to lenders or government agencies in applying for a loan, a wire transfer to another entity may still implicate you as liable. Because wire fraud produces clear-cut evidence and carries such a heavy penalty, it is often that law enforcement pursues.

When to Call for Help

If suspect that a loan scheme might be underway early in your real estate transaction, a simple change in representation may be available as a remedy. If nothing has been signed and no money has changed hands, you are free to call another broker or request another appraisal of your property. If you have been presented with suspicious documents for signature or an appraisal that is markedly different from previous estimates, call a real estate attorney immediately. Even when the deal is done and you belatedly distrust the integrity of the transaction, legal counsel can help you take the next step in clearing your title. Complete our short survey for a list of qualified attorneys who can help you in your area.

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