Mortgage Fraud Lawyer

If you or your business have been accused of mortgage fraud, the experienced solicitors at JMW can provide the expert advice and representation you need. Mortgage fraud is a criminal offence and a conviction can result in a prison sentence, as well as a credit rating that is damaged beyond repair. This can make obtaining credit or any other financial deal difficult for life.

The experts at JMW have extensive knowledge of this area of the law and a track record of success in defending individuals accused of related offences. Our specialist mortgage fraud solicitors have represented individuals and businesses whose actions were considered mortgage fraud but where there was no intention to defraud. JMW's mortgage fraud defence solicitors can help you avoid facing allegations of fraud and the serious consequences that follow on the basis of an innocent mistake.

To speak to a solicitor about allegations of mortgage fraud, call us on 0345 872 6666 or fill in our online enquiry form and we will get back to you.

Types of Mortgage Fraud

Mortgage fraud can be apparent in a significant number of mortgage applications each year, and this can often be attributed to the various difficulties faced by many people when trying to get a foot on the property ladder.

Examples of mortgage fraud include:

• Misrepresenting finances
• Embellishment of employment status
• Misrepresenting salary figures
• Masking poor credit history
• Hiding credit card debt or other debt

While some people commit mortgage fraud intentionally to maximise their mortgages, by supplying false information or forging false documentation, many others can face accusations on the basis of straightforward mistakes. For commercial property professionals or investors building a portfolio, false claims of mortgage fraud damage your relationships with mortgage lenders or brokers, and cause significant damage to your reputation.

Mortgage Fraud Report

Our mortgage fraud report, entitled Mortgage Fraud: Recession and Recrimination: A Guide to Mortgage Fraud, is an introduction to some of the practical issues that arise in dealing with mortgage fraud cases, such as:

• The common types of fraud that may arise
• The issues that affect the different professionals who may come under investigation
• Some of the areas that may be relevant in defending a claim

The guide is not about case law or statute. The charges that commonly arise in mortgage fraud cases (Fraud by False Representation, Conspiracy to Defraud, False Accounting and Fraudulent Trading) are well known to practitioners.

To read the full report, click here.

Meet The Team

Q

Can I be prosecuted for mortgage fraud if I made a genuine mistake?

A

You may avoid prosecution for mortgage fraud if you have made a genuine mistake and had no intention to mislead the lender. Mortgage loan fraud is typically prosecuted under the Fraud Act 200 or the Theft Act 1968. The most common form involves providing false or misleading information to a lender to secure a mortgage that might not otherwise be granted - for example, overstating income, failing to disclose debts, or misrepresenting the purpose of the property purchase.

However, the crime of fraud requires proof of dishonesty, which is judged by your knowledge and motives at the time. If you can show that you made a genuine mistake, and did not intentionally commit mortgage fraud, this can be used in your defence.

In these cases, it is vital to address errors quickly to avoid civil consequences or suspicion. For example, if you genuinely misunderstood a question on the mortgage application, or provided figures in error without intention to mislead, this generally would not meet the threshold of criminal dishonesty. However, if you failed to let your mortgage lender know when you discovered the mistake, this could constitute an attempt to mislead.

If you find yourself in this position, seek specialist legal advice from the team at JMW. We can help to build your defence on the basis of mistakes such as clerical errors, misunderstanding of questions, relying on outdated figures or over-valuing properties based on incorrect information. While a mortgage broker or lender may refuse services in these cases, you can potentially avoid the legal consequences of a fraud charge.

Q

What are the penalties for mortgage fraud in the UK?

A

Mortgage fraud is usually prosecuted under the Fraud Act 2006. The potential sentences depend on the seriousness of the case, and being found guilty of mortgage fraud in court usually leads to more severe penalties than pleading guilty from the outset.

A summary conviction in the Magistrates’ Court carries a maximum sentence of up to 12 months’ imprisonment and/or an unlimited fine. For more serious offences tried in the Crown Court, a conviction can result in up to 10 years’ imprisonment and/or an unlimited fine. The maximum sentence is reserved for the most serious cases, such as large-scale fraud by organised crime groups or those involving serious abuses of a professional position.

Aggravating factors will increase the sentence. These may apply if:

The financial value of the fraud was high

• There was a high level of planning and sophistication.
• The defendant was in a position of trust (e.g., they were a professional adviser or broker).
• The defendant has previous convictions for similar offences.

Mitigating circumstances can include if the defendant pleaded guilty or cooperated with the investigation, or if the value of the fraud was relatively low. A solicitor can support you during this process by presenting mitigating circumstances that reduce the severity of your sentence.