SCAMS AND SCHEMES
It’s a sad truth in this world that as long as a person has something desir-
able, there will be others scheming to take it from them. The mortgage
industry, as huge as it is, presents an obvious target for fraudsters looking
for ill-gotten gains. Unfortunately, even as lenders and servicers take more
precautions, industry reports point to an upward trend in fraud risk over the
past few years, making this a constant front-of-mind issue for many in the
industry. But how do you keep ahead of the scammers out there? Do you
know what to look for?
To start with, you might try looking backward, as suggested by contributing writer Bridget Berg in
our feature article. The truth is, most mortgage fraud tends to go undetected until long after the
fact, making past activity a good barometer for what to expect in the future. Of course, it does
no good to catch fraud if it’s already too late to do anything about it—which is why we’ve also
included a rundown of some of the common schemes and the red flags you should keep an eye
out for. In keeping with the idea of learning from the past, you can also check out our look back
at some of the biggest names who have made headlines over the past decade, as well as their
alleged schemes. Don’t be taken in by copycats!
Of course, you could publish an entire library’s worth of fraud articles and still not be able to touch
on the myriad ways in which a scammer might look to make an easy dollar, which is why we’d love
to hear your thoughts on trends and schemes you’ve seen out there. As always, you can reach
us anytime through our Facebook page ( www.facebook.com/MortgageComplianceMagazine) or
my email below.
One last note before I sign off: September will mark the end of Mortgage Compliance Magazine’s
fourth year of publication (our first issue came out in October 2013). This is a proud milestone for
all of us who have worked on the magazine over the years, and I will certainly have more to say
then—but for now, I’ll just say that I hope you’ll join us next issue to see what we’ve got in store.
Mortgage Compliance Magazine welcomes your feedback. If you have comments, questions,
criticisms, praise, or information to share with us and our readers, please write us at