FHFA: Fannie, Freddie Working On Tools To Catch Mtge Fraud
18 März 2009 - 6:38PM
Dow Jones News
The regulator for Fannie Mae (FNM) and Freddie Mac (FRE) said
Wednesday the mortgage giants were working on new efforts to crack
down on mortgage fraud.
Federal Housing Finance Agency Director James B. Lockhart said
he hopes to soon unveil the tools, which would be in addition to
rules the government-sponsored enterprises announced in January to
catch fraud.
Mortgage fraud has been on the rise in the aftermath of the
housing bust, as lenders have scrutinized mortgage applications
more carefully and reined in mortgage credit.
The number of mortgage fraud reports last year climbed 26% from
a year earlier, according to a study released this week by the
Mortgage Asset Research Institute.
Fannie and Freddie in January announced new rules requiring
mortgage originators and appraisers to provide identifying data on
loans sold to the companies. The rules won't take effect until Jan.
1, 2010.
"Additional efforts to expand mortgage fraud prevention and
detection are under consideration by the enterprises and their
industry partners, and I hope to be reporting on them soon,"
Lockhart said at a Women in Housing and Finance symposium.
-By Jessica Holzer, Dow Jones Newswires; 202-862-9228;
jessica.holzer@dowjones.com