Reverse mortgages have grown considerably as an industry over the course of the last three years. Unfortunately, whenever something good happens, it tends to have a negative counterpart. The negative counterpart in the reverse mortgage loan business has been the fact that reverse mortgage fraud is also on the rise. Luckily, due to media attention and the acts of people concerned about senior advocacy, the government has taken efforts to stem the reerse mortgage fraud problem in order to keep this kind of lending safe and beneficial for the people interested in these loans.
To that end, the FBI has announced that it is cracking down on mortgage fraud to a significant degree. The reverse mortgage industry is just one area of mortgage fraud that the FBI is dealing with it but it is an important area receiving the bureau's attention. They are particularly looking at reverse mortgage lenders who take an aggressive approach to marketing and which have high fees associated with their loans. The FBI describes a "surge" in their focus on these matters and says that there's no indication that this surge will slow anytime soon.
Learn more here.
Question of the Day: What do you see as the best way for the FBI to approach its crackdown on reverse mortgage fraud?
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