Fannie and Freddie have had fraud detecting software for nearly 3 decades. Why was there so much fraud since the late 1990s? Because they wanted liquidity. Foreclosures (used to) make a lot more money than long term mortgage loans. The problem now is we know they had the means to catch fraud before it happened – there are numerous bank software patents indicating fraud defector devices… Now, how could millions of American homeowners all commit the same fraud? Right, it was systematically relaxed…not ignored… Intentionally altered by the banks. The banks knew or should have known that altering the safeguards would cause damage –
Now this is a joke. Freddie Mac is educating consumers on mortgage fraud!
As part of a continuing series that aims to educate consumers on all aspects of the home buying process, Freddie Mac released a short video that tells consumers how to avoid mortgage fraud when applying for a loan.
In the video, Freddie Mac identifies several “red flags” that consumer should be on the lookout for, including:
- Being told to exaggerate your income, assets, credit, or provide false information someone says will help get the loan approved
- Being pressured to sign paperwork that you haven’t had a chance to read or that you don’t fully understand
- Being asked to release personal financial information online or over the phone by someone you don’t know
Last year, as a part of the same education effort, Freddie Mac issued a warning to buyers and lenders about scams that offer the…
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