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Phoenix Criminal Attorney > Blog > Criminal Defense > What is Mortgage Fraud, and What to Do if Facing Accusations

What is Mortgage Fraud, and What to Do if Facing Accusations

MortgFraud

Buying a house is a rewarding and life changing experience for many new and even experienced buyers. With mortgages, however, it is incredibly important to be as scrupulous as possible throughout the whole process, as it is easier than one might think to accidentally commit mortgage fraud. While most crimes are clear in nature like stealing, or causing physical harm to another, mortgage fraud has a wide range from organized intentional schemes all the way to accidental omission and improper filings. Fortunately, in any case, there is always help to mitigate the stress being experienced by such heavy accusations.

What is a Mortgage?

To begin to even understand mortgage fraud, let’s clearly get out of the way what a mortgage even is, in simplest terms. A mortgage is a loan used to buy or refinance a home. If you do not have enough to pay a house in full with cash, as most do not, a mortgage is the way to purchase a home through a financed loan. There always exists a lender party, and a borrower party, where the borrower is expected to pay back the loan over a set of years and months. 

What is Mortgage Fraud, and When Does it Occur? 

It is entirely possible to unintentionally commit mortgage fraud. As per the FBI, omission or improper reporting of information that influences a borrower or lender can be considered a heavily fined and punished crime.

The FBI has also listed other forms of mortgage fraud. Aside from borrowers not accurately displaying true reflective and transparent financial documentation, there exists fraud in the form of white-collar crime. This fraud occurs when industry insiders use their knowledge or special circumstances to commit or facilitate fraud. This fraud is not the same in nature as those borrowers looking to secure a home. Rather, these frauds involve an attempt to misuse the lending process to steal cash from either the lenders or the homeowners borrowing. Any members of the housing industry from banks to brokers and appraisers can be involved in improperly following proper documentation processes. 

What Are My Next Steps Following Mortgage Fraud Accusations?

Committing fraud whether intentionally or unintentionally, from borrower or by lender, is heavily punishable in Arizona, as well as nationwide. Should you be accused of mortgage fraud, your first step is to find a mortgage fraud attorney to help guide you through what immediate steps to take next, as well as what documents and other resources you may need to reach. A criminal defense attorney is going to help with whatever unique circumstance you find yourself in, and will ease the burdens of the process.

Accused of Mortgage Fraud? Contact Our Offices Today

Regardless of the nature of mortgage fraud accusations, the stress comes all the same. Facing the notions of fraud related penalties and punishments is enough to get anyone understandably worked up. Thankfully, there is a long history in understanding these cases which attorneys are experienced in. At Blumberg & Associates, our Phoenix criminal attorneys understand the stress entangled with such accusations, and we care to help you every step of the way. For any questions or concerns regarding mortgage fraud, rest assured in contacting our team at 602-277-6180 today.

Resources:

azleg.gov/viewdocument/?docName=

azleg.gov/ars/13/02320.htm

fbi.gov/investigate/white-collar-crime/mortgage-fraud

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