3.0 hours Good Guys/Bad Guys - Who's Who in Mortgage Fraud – Course Syllabus

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Course Syllabus:

3.0 Designated Subject Matter R

The elderly are particularly vulnerable to mortgage fraud. Often their trusting nature makes them targets for criminals. One such mortgage scheme is identity theft. Unfortunately, churches can be ideal places for rings to recruit straw buyers and sellers. They are often attended by the elderly who can be naive.

The identity theft ring plays on the emotions of the elderly, promising them money to let another use their identity to help someone who is in trouble. The elderly can be anxious to help a "poor person" who is about to lose their home. They are promised that if they simply sign some papers they will receive $10,000 and they can even tithe part of it to the church. Another name for this crime is "equity theft."

In another situation, a fraud group selects an expensive subdivision on which to concentrate. A title researcher locates a home with no mortgage on it. The conspirators create a straw seller and a straw buyer who uses the owner's social security number to place a loan to "buy" the house. The owner of the house knows nothing about this until a few months later when a representative from the mortgage lending company asks why they haven't made their monthly mortgage payment.

This course will provide a better understanding of the different types of mortgage fraud. Examples are provided to help the licensee to better recognize the red flags of mortgage fraud.

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