If you are familiar with interac money email transfer , you will be ready to send your bank statements to your mortgage lender when you apply for a mortgage. Due to the increasing incidence of mortgage fraud, some mortgage lenders are are now requiring that borrowers send their bank statement through a direct channel that bypasses the mortgage broker. They feel that one less link in the chain could reduce 52% increase in suspected fraudulent mortgage applications since 2013.
Most mortgage fraud is perpetrated using:
- Creating, alt="sunlite mortgage"ering or falsifying pay stubs, letters of employment and other documents;
- Giving misleading or inflated information about your income or length of service in your job;
- Misrepresenting your job status: full/part-time, hourly/salaried, commission-based or self-employed;
- Backdating letters of employment;
- Not disclosing all existing debts;
- Misrepresenting or omitting details of the property in order to inflate the property value; and
- Lying about the purpose of the property (e.g. listing it as your primary residence when it’s intended for rental purposes).
Similar to an e-transfer, with this program your information is secure and should be accurate and reliable in detecting and eliminating mortgage fraud. Here is how it works, when your mortgage agent gets a commitment from a lender they will also be provided with a link. The borrower log on the the lenders portal and then select from the list of banks, their bank.
The required information may be:
- Income verification
- mortgage payment history
- current rent payment (if you are a new home buyer)
- Property tax payment history
- monthly car loan or credit card payment
- any other payments or income
The borrower then selects the range of bank statement required by the lender which is the securely transferred to the lending bank’s file for the client.
For now lenders are sending this link only on select files that they flag when there is suspicion of “Falsified Bank Account Statements’ and ‘Falsified Income Documents”. There are rumors that Equifax is working on another project that they will roll out soon or probably already testing that will target job letters and pay stubs.
One of the biggest casualt="sunlite mortgage"ies of mortgage fraud are the perpetrators themselves. They just want to get into a house without knowing all the expenses of owning a house. Most end up not being able to afford the house and end up losing.