Equifax predicts more mortgage fraud

Date:Tuesday 10th August 2010
Author: Max Freedman

Mortgage fraud looks set to increase, according to one financial expert, although the extent of the issue is not completely clear.

Equifax spokesperson Neil Munroe made his comments in response to the publication of the KPMG Fraud Barometer, which showed that mortgage fraud had almost quadrupled in value during the first half of 2010.

He suggested that matters are likely to get worse before they get better and noted that there is often a time lag between when a case is spotted and when it goes to court.

As a result, there could be some major fraud activity that has yet to come through the system.

"If we see property prices continue to be depressed, we probably will see more and more of these cases being identified and coming to court," said Mr Munroe.

In his view, the ability to prosecute people for fraudulent activity should act as a deterrent and reduce the number of times this type of process occurs.