Wednesday, March 12, 2008
UK Mortgage Fraud
If you ever wondered why there is a problem with UK Household debt - look no further thatn this 2003 report from the money programme.
Undercover researchers from The Money Programme posing as first time buyers talked to advisers recommended by ten estate agents in Ealing, West London.
Nine encouraged them to take out self certified mortgages – where borrowers simply state their incomes and lenders promise not to check.
All nine advised the buyers they would have to lie about their true income to secure a larger mortgage, raising the amount which could be borrowed from around £150,000 to £220,000.
Where does this leave the honest ones amongst us?