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 »
Americans are increasingly worried about financial fraud, a new survey finds – even if many of them are willing to bend the rules themselves. In a new report from FICO, 32% of Americans ranked fraud protection as their most important consideration when choosing a financial account, with 71% putting it in their top three issues.
Consumers fearful of fraud, but willing to exaggerate income Read More »
Sam Altman, chief executive officer of OpenAI Inc.Bloomberg News WASHINGTON — The CEO of OpenAI warned a room full of bankers and policymakers of an “impending fraud crisis” spurred by artificial intelligence’s growing capability to get around fraud prevention measures. Speaking at a conference hosted by the Federal Reserve Board Tuesday, Sam Altman, head of
Open AI CEO Altman warns of ‘impending fraud crisis’ Read More »
An Indiana loan officer faces a dozen felony counts after being accused of altering borrower information while working as an originator for two different lenders. State officials filed charges against Laura Mickler in Delaware County circuit court, located in the Central Indiana town of Muncie, in early July. She faces four felony counts each of
Former mortgage loan officer faces fraud, forgery counts Read More »
Sen. Adam Schiff, D-Calif., called the Trump administration’s accusations of mortgage fraud regarding his Maryland property political retaliation.Al Drago/Bloomberg Fannie Mae suspects Sen. Adam Schiff, D-Calif., of mortgage fraud. President Trump announced the government-sponsored enterprise’s findings in a Truth Social post Tuesday. The scheme allegedly involves a Maryland property Schiff has owned since at least
Trump says Fannie Mae suspects Schiff of mortgage fraud Read More »
An Arizona man was sentenced last week for misrepresenting his employment status to obtain Department of Housing and Urban Development housing assistance. Jalil Al-Kinani was sentenced to 18 months of supervised probation and must pay restitution to HUD following his sentencing last week in a Maricopa County court, according to a press release. The case
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