CML report significant rise in mortgage application fraud
The Council of Mortgage Lenders (CML) has today confirmed a significant increase in mortgage application fraud across the UK. Even though the CML admits there are no definitive figures with regards to mortgage application fraud, anecdotal evidence from their members has confirmed their worst fears. The situation has become much worse since the onset of UK recession amid signs that more and more people are looking to rush through their mortgage applications in order to try and take advantage of relatively low property prices.
The most popular element of an application which seems open to "interpretation" by customers is their overall income. By simply inflating their income figures many people hope they can increase the maximum mortgage available to them and therefore move to within touching distance of their dream home. Mortgage fraud alone has forced many mortgage providers in the UK to tighten their criteria and favour large deposits and high credit scores when considering new mortgage applications.
While this is a situation which has been ongoing for some time now, perhaps to some extent it does explain why mortgage providers across the UK appear to have been more cautious than ever over the last couple of years. It may well be that mortgage fraud is preventing genuine home buyers from accessing new funds.
Share this..
Related stories
Are Shorters Really Affecting Stock Markets?
As the FSA continue the onslaught against the so called short sellers in the stock markets, many believe that this latest attack is just a cover for the current problems in the market. The banks and housebuilders stand accused of being too slow to pass information to the market, allowing speculators to cause concern and worry in the market place. So are short sellers really the root of the proble...
Read MoreShould the UK authorities be employing more tax inspectors?
While the thought of a tax inspector walking through your door tomorrow to go over your company accounts will fill many people with dread the truth is that HM Revenue and Customs is chronically short of tax inspectors and experienced staff. As the authorities look to increase tax rates across the board there is a feeling amongst many that employing more tax inspectors would ultimately allow the go...
Read MoreIs credit more available in the corporate market?
A survey by the Bank of England seems to suggest that credit in the UK corporate market is now more readily accessible than it has been for some time. The bank has confirmed that UK financial institutions have seen an increase in the availability of loans available for customers in the business arena although on the downside it would appear that growth in liquidity was lower than expected. Whil...
Read MoreIs a dog still a mans best friend?
Since the credit crunch started to affect those in the UK there has been a marked increase in the number of RSPCA call outs with more and more pets appearing on the streets. For a country which has for centuries been a nation of pet lovers there has been a major shift over the last 12 months. More dogs are being shipped off to homes and more pets are being found in distressed states with euthana...
Read MoreRupert Murdoch backtracks in UK free paper market
Last week's news that Rupert Murdoch is closing his free London newspaper has highlighted a growing problem in the UK media sector where advertising is well down and many companies do not plan to increase their budgets for the foreseeable future. There are many free papers up and down the UK which carry historically lucrative adverts which had until today made the papers fairly profitable. However...
Read More