Bank fraud is a common type of crime in Tennessee, and it can take many forms. In general, this type of fraud consists of the use of illegal means to obtain money and other assets by fraudulently posing as a financial institution.
Bank fraud can happen anywhere to anyone and Tennessee is no exception. In 2017, CNBC reported that account-takeover fraud was on the rise and could drain a person’s bank account. To do this, someone else sources a bank user’s personal information and uses it to gain access to their account and transfer money. Between 2015 and 2016, this type of fraud increased by 61% and led to $2.3 billion in losses.
There are numerous ways one can commit financial institution fraud in Tennessee. Victims can be retail banks, credit unions, savings and loans associations, investment banks, insurance companies, brokerage firms and mortgage companies.
Many Tennessee residents know that applying for a mortgage may be confusing and frustrating, especially with the lending changes that have occurred since the 2008 housing market crash. Making minor false statements on a loan application may seem innocuous, especially if listing factual data makes it difficult to qualify for a mortgage. However, the recent increase in mortgage fraud cases and convictions shows that there may be significant consequences to such actions.