View more on these topics

Mortgage fraud down 11% in 2011

There were 3,153 cases of reported mortgage fraud in 2011, down from 3,542 in 2010, according to the latest CIFAS fraud report.

The report shows the decrease was due to a drop in application frauds, which may well be linked to increasing unemployment.

It says lack of employment and concerns about future prospects may have been putting off those fraudsters who would have committed application fraud to obtain a larger mortgage than they could afford to repay – but would have taken out the mortgage with every intention of repaying.

Although the total number of application frauds identified in 2011 decreased compared with 2010, the number of cases where false employment details were provided almost doubled – up to 512 cases from 283 the year before.

Historically, mortgage application frauds have always seen a high level of falsification of documents – most commonly of payslips in order to make it seem that the applicant earns more than is actually the case.

CIFAS says now it seems that more applicants are having to lie about earning anything at all.

Meanwhile, the Slough Express reports that mortgage broker Tahir Malik has admitted obtaining services from Mortgage Next Network by deception in 2004 by concealing his convictions and bankruptcy, and giving a false former employer.

On top of those he pleaded guilty to two counts of fraud, one relating to a mortgage on his former home in West Wycombe in 2007 and the other to an attempted purchase of a property in Windmill Road, Slough, in 2008.


Plenty still to be done despite B2L growth

The Council of Mortgage Lenders has announced the 2011 figures for buy-to-let and they are a pleasant surprise compared with what was being predicted.

Lenders go to HMRC to check 269 suspect cases

Lenders have verified the income details of 269 mortgage applicants they suspect of committing fraud using HM Revenue & Custom’s mortgage verification scheme. The scheme, which launched in September, is designed to combat mortgage fraud by allowing lenders to verify the income details declared by mortgage applicants with those registered with HMRC for a £14 […]

Last week’s winner

“Matt’s insurance claim shows the moment of impact.” Rob Pendragon


Guide: 10 required letters — what to send, to whom and when?

This guide from Johnson Fleming will take you through the required communication and also give ideas for additional actions that will ensure your auto-enrolment project is a success. The topics in this guide include: the letters you need to send out; what to send and when; the importance of employee engagement; and what to consider as additional communication.


News and expert analysis straight to your inbox

Sign up