AGOURA HILLS, CA, October 25, 2010 — Interthinx has released its quarterly Mortgage Fraud Risk Report, reflecting data collected in the third quarter of 2010. The report analyzes national fraud risk and indices for the four most common types of mortgage fraud risk. According to the most recent data available, trends are emerging that may indicate that “fraud for property” (that is, fraud to attain homeownership), once considered to be less dangerous than “fraud for profit,” is returning to the industry. Analysts reached this conclusion after witnessing increases in two of the four types of fraud tracked. Additional data points highlighted by Interthinx analysts include:
“In the past, lenders viewed fraud for property as a more benign type of crime than fraud for profit, but when those loans defaulted, everyone learned how dangerous this type of fraud truly is,” said Kevin Coop, president of Interthinx. “The crimes almost always include an inside party who is reaping a profit on the fraud. The industry must remain alert to shut down these schemes before loans are funded. That will go a long way toward helping our industry, and our country, recover.”
The Mortgage Fraud Risk Report is an Interthinx information product created by an internal team of fraud experts. The report was prepared with input from Constance Wilson, Ann Fulmer, Shane De Zilwa, and the Interthinx analytics team. This is the sixth time Interthinx has released its quarterly report, which is providing deeper insight into current fraud trends through analysis of the extensive pool of data the company amasses from the industry’s use of the Interthinx FraudGUARD® loan-level fraud detection tool.
For more information about the Interthinx Mortgage Fraud Risk Report, visit http://www.Interthinx.com.
Interthinx, a Verisk Analytics subsidiary, is a leading national provider of comprehensive risk mitigation solutions in the areas of mortgage fraud, collateral valuation, regulatory compliance, audit services, and loss forecasting. The Interthinx quarterly Mortgage Fraud Risk Report is a standard for the financial services industry and includes analysis of national mortgage fraud risk with indices for the most common types of risk. At every point in the mortgage life cycle, the Interthinx suite of services can directly increase the value of client portfolios. Winner of Mortgage Technology magazine’s 10X Award, Interthinx is a charter participant in the national fraud prevention database MERS® FraudALERT, a powerful utility that allows members of the mortgage industry to share data while maintaining privacy in a secure environment. For more information, visit www.interthinx.com or call 1-800-333-4510.
Release: ImmediateRick Grant