Federal Reserve Governor Lisa Cook’s lawyers blasted President Donald Trump’s move to oust her as based on nothing more than a pack of “cut-and-paste” allegations related to mortgage fraud. In a flurry of court filings Tuesday, Cook’s lawyers emphasized arguments that Trump lacked valid grounds to fire Cook “for cause,” a key issue in her […]
Lisa Cook blasts Trump’s ‘cut-and-paste’ mortgage fraud claims Read More »
The battle between Federal Reserve Board Governor Lisa Cook and the Trump Administration over mortgage fraud allegations and their implications intensified this week. Cook filed a temporary restraining order and issued court summons to several high profile officials in a lawsuit filed to block attempts to fire her over alleged misrepresentation, and housing regulator Bill
Pulte posts new criminal referral as Cook escalates lawsuit Read More »
A federal jury in Puerto Rico on Tuesday convicted Oluwasegun Baiyewu, 37, of Richmond, Texas, in a money-laundering conspiracy stemming from wide-ranging wire, mail and device fraud schemes that funneled illicit funds to Nigerian transnational organized crime groups through car part auctions. While the total dollar value of the schemes is relatively small, prosecutors only cited
A small Nigerian money-laundering scheme has big lessons for banks Read More »
President Trump’s attempt to fire Federal Reserve Governor Lisa Cook over mortgage fraud allegations has been called part of a larger crackdown, which suggests there could be value in looking at potential changes it points to for lenders. Housing regulator Bill Pulte has claimed alleged fraud findings like Cook’s are not political, in contrast to
Cook allegations suggests new mortgage fraud priorities Read More »
With three of Donald Trump’s adversaries now under investigation for occupancy fraud, the practice of misstating a home’s intended use on mortgage applications is drawing fresh scrutiny. We asked experts how widespread the problem really is and what the renewed attention could mean for the industry. The type of fraud a government-sponsored enterprise regulator is
As Trump, foes collide, occupancy fraud is spotlighted Read More »
Lagging tech adoption and credit underwriting issues were likely contributors to loan quality worsening from a recent record-low rate, according to Aces Quality Management. The overall critical defect rate rose to 1.31% in the first quarter, shifting away from the fourth quarter’s historical low of 1.16%, the company’s latest report found. Defects rose in three
Underwriting errors push loan defects higher Read More »
The American Land Title Association has created two title insurance policy endorsements addressing the issue of seller-impersonation fraud. These endorsements will allow title insurers to cover any potential legal costs to correct public records if forged deeds or mortgages are recorded. The first, formally known as the ALTA 49 Endorsement, covers forgery in a new
ALTA adds seller impersonation coverage to its title policy Read More »
The Federal Trade Commission recently highlighted the dramatic surge in scams targeting older adults that has increased pressure on U.S. banks and credit unions to enhance their fraud prevention measures. The FTC said a growing wave of scams has taken aim at retirees’ life savings, with fraudsters often impersonating trusted government agencies and businesses to
FTC warns of alarming surge in scams that target seniors Read More »
Lenders sprinting to adopt artificial intelligence solutions could be opening the door to increasingly damaging cybersecurity incidents. Nearly all types of companies who suffered hacks involving their AI models or applications in the past year lacked proper access controls, according to IBM’s annual Cost of a Data Breach report. Although just 13% of the 600
How AI is changing the cost of a data breach Read More »
Data breaches are quietly plaguing more lenders as their impacted customers continue to seek recourse via class action lawsuits. Virginia-based McLean Mortgage is facing four federal complaints after it revealed that the personal identifiable information of 30,453 of its customers was compromised in an October incident. The company, which disclosed the results of an investigation
More lenders suffer data breaches, face consumer lawsuits Read More »