Important Things to Know About Mortgage Fraud in Illinois

 Posted on February 13, 2023 in Federal Crimes

Mortgage fraud is an extremely serious federal crime that is a growing problem in Illinois and many other states across the country. It refers to a wide range of illegal activities that involve making false or misleading statements on mortgage applications to obtain a loan or a larger loan than would otherwise be possible. Some common types of mortgage fraud include loan flipping, property flipping, straw buyers, and appraisal fraud. This type of fraud can result in significant financial losses for both borrowers and lenders and damage the overall housing market. 

Today, we will look deeper into mortgage fraud in Illinois and address everything you need to know about this serious offense. Your freedom may be at risk if you have been charged with mortgage fraud. Consider contacting an experienced federal crimes defense attorney who will ensure your rights remain protected and that a positive outcome can be pursued  in your favor. 

The Inner Workings of Mortgage Fraud

Mortgage fraud is a crime that involves providing false information to a lender to obtain a mortgage loan or to manipulate the loan process for personal gain. This can include falsifying income or employment information, misrepresenting the property's value, or using straw buyers to obtain a loan. Mortgage fraud is a federal crime and is, therefore, subject to the jurisdiction of the United States government. In Illinois, mortgage fraud can have serious consequences, including exorbitant fines and decades in prison.

Aside from the unlawfulness of mortgage fraud, being convicted of such a crime can devastate someone's personal life. Reputations can be ruined, and lives can be destroyed. Not to mention, those guilty of mortgage fraud may be required to pay restitution to the lender, which can be a terrible financial burden. 

How Can Mortgage Fraud Be Prevented? 

To prevent mortgage fraud, it is essential to take steps to protect yourself and your financial information. This can include reviewing your credit report regularly, being cautious about who you give your personal information to, and being aware of the signs of mortgage fraud. It is also important to be careful when entering into a mortgage loan agreement. Before you sign any documents, be sure to thoroughly read and understand the terms and conditions of the loan. 

Contact a Chicago, IL Mortgage Fraud Defense Attorney 

If you have been charged with mortgage fraud, there is no time to waste. Contact the experienced Chicago, IL, mortgage fraud defense lawyers with Law Offices of Hal M. Garfinkel LLC, Chicago Criminal Defense Attorney. Call 312-629-0669 for a free consultation.

Source:

https://www.investopedia.com/articles/mortgages-real-estate/10/how-mortgage-fraud-affects-markets.asp