Mortgage Fraud

Federal law does not contain a specific statute aimed covering mortgage fraud. There are a number of laws that cover situations involving defrauding or attempting to defraud a mortgage lender. For example, the mail fraud statute, 18 U.S.C. § 1341, and the wire fraud statute, 18 U.S.C. § 1343, cover fraudulent activity that could occur in relation to a mortgage. Further, the bank fraud statute, 18 U.S.C. § 1344 has been expanded under the Fraud Enforcement and Recovery Act of 2009 (FERA), to not only include FDIC-insured institutions, credit unions, federal home loan banks, but mortgage lending businesses. Further, under 18 U.S.C. § 1014, prohibits false statements to a financial institution, such as providing false information regarding income, assets, debt, or matters of identification, or to willfully overvalue any land or property, in a loan and credit application for the purpose of influencing in any way the action of a financial institution.