How to Report home loan fraudulant activities?
December 22nd, 2008
courtney s asked:
This takes place in texas
how do I report loan fraud? (not sure if that is the correct terminology…)wanted to buy this house from some one and I know the loan officer who is a shark and told me I couldnt buy this house b/c he had done the loan for him. He told me about how he copied and pasted some one elses bank statements on his and scanned things to make it look like he was eligible to buy the home. It is a $250,000 house and the guy is making 9$ an hour and has roommates living there to make up the cost. The loan officer got nasty with me later on b/c I told him that I didnt aprove of this and said that he can get me in trouble as an acomplice and bring me down with him if I try to report him since he told me and I now know. Is this true? I still want to report this fraudulatnt activity though. I think it is wrong. So who do I call? I know this is a serious felon.
Also what happens do they look up the documents? Do they inspect the house and the people there?
He has auto fraud already on his record very recently does this affect him more now that he has a record? The police will only say thats not their jurisdiction.
also i have just found out the person that bought the house is friends with that loan officer and they were both in on it.
Eric
This takes place in texas
how do I report loan fraud? (not sure if that is the correct terminology…)wanted to buy this house from some one and I know the loan officer who is a shark and told me I couldnt buy this house b/c he had done the loan for him. He told me about how he copied and pasted some one elses bank statements on his and scanned things to make it look like he was eligible to buy the home. It is a $250,000 house and the guy is making 9$ an hour and has roommates living there to make up the cost. The loan officer got nasty with me later on b/c I told him that I didnt aprove of this and said that he can get me in trouble as an acomplice and bring me down with him if I try to report him since he told me and I now know. Is this true? I still want to report this fraudulatnt activity though. I think it is wrong. So who do I call? I know this is a serious felon.
Also what happens do they look up the documents? Do they inspect the house and the people there?
He has auto fraud already on his record very recently does this affect him more now that he has a record? The police will only say thats not their jurisdiction.
also i have just found out the person that bought the house is friends with that loan officer and they were both in on it.
Eric
Uncategorized
The only way you can be charged with fraud is if you Aid this person in commiting the fraud. Start with the police and then your states Attorney generals office. Failure to report a crime is a punishable offence.
There’s a couple ways you can report this kind of loan fraud. It will depend (at least to some degree) on the level of law enforcement sophistication in your area, or the area that the fraud took place. Historically the police didn’t get much training in this, hence they didn’t investigate. But onward:
If your in a large metropolitan area with a police department of sufficient size to have a fraud unit, then call them and see if they take those kinds of cases.
And then call your local district attorney’s office. Many have real estate fraud unit these days and they may have a mechanism for reporting that will get your complaint into the right hands.
If you report it to a licensing authority - Department of Real Estate for example, they may investigate for administrative violations, but usually don’t do criminal cases. They refer those to local authorities or the DA.
In the meantime you’ve placed yourself in a good position in being a good witness if the loan broker actually told you all that.
To begin a loan fraud investigation is going to require having a victim. So the best avenue is to know who benefited from the cut and paste job. They may be cooperative, because if they didn’t have the income to make the payments, etc, then they may eventually have to deal with foreclosure. Many of these people don’t want to come forward though. Because they knew what the broker was doing and they think they might also get in trouble.