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  • Banking & Mortgage Fraud in Dallas Texas

Dallas Fraud Defense Lawyers

Both banking and mortgage fraud are real concerns in the state of Texas. Being arrested and charged with either of these crimes can lead to severe criminal penalties. That is why it is in your best interest to have a basic understanding of the laws related to these crimes.

Furthermore, if you have been charged with the offense of banking and/or mortgage fraud, contact a licensed attorney in Dallas that has the background and experience to provide you with the proper defense.

Banking Fraud: An Overview

Bank fraud involves the planning and/or execution of taking money and/or property unlawfully from a federally insured financial institution. The area of banking fraud includes the charges of mail fraud, insider fraud, check fraud, counterfeiting, and identity theft.

The federal government backs and regulates banks. Generally, this means that crimes committed against banks are prosecuted in federal court. The federal law states that it is unlawful for anyone to knowingly execute, or attempt to execute, a scheme to:

  • Defraud a financial institution; or
  • Obtain any of the moneys, funds, credits, assets, securities, or other property owned by, or under the custody or control of, a financial institution, by means of false or fraudulent pretenses, representations, or promises.

The penalties associated with banking fraud may include fines up to $1,000,000 and/or imprisonment of no more than 30 years.

How is Mortgage Fraud Defined by Texas Law?

Texas defines mortgage fraud as an offense committed when a person intentionally or knowingly makes a materially false or misleading written statement in order to obtain a mortgage loan. A person commits the criminal offense of mortgage fraud when he, for example, inflates property appraisals or conceals a second mortgage from a primary lender.

Mortgage fraud can involve any of the following parties: buyer, lender, mortgage broker, real estate agent, and/or appraiser.

In 2007, the Texas legislature instituted a task force that was devoted to investigate and prosecute residential mortgage fraud in Dallas and throughout the state of Texas. The task force is made up of the Attorney General, the Consumer Credit Commissioner, the Banking Commissioner, the Savings and Mortgage Lending Commissioner, along with other officials in the state.

Similar to banking fraud, mortgage fraud is punishable by up to $1,000,000 and/or as much as 30 years imprisonment.

Foreclosure “Rescue” Scams in Texas

In general, these scams offer fraudulent “mortgage rescue” services. The proposed service includes a promise from the party that it will prevent a foreclosure. In actuality, however, the party speeds the foreclosure process by charging exorbitant fees and instructing the customer to avoid speaking to their individual lenders in order to resolve any problems.

Citizens are encouraged to report any individual that offers these types of “mortgage rescues” to the Office of the Attorney General. These individuals will be charged and prosecuted under federal banking laws and will face serious penalties.

Do You Need an Attorney?

If you have been arrested on banking or mortgage fraud charges, it is imperative that you contact legal representation as soon as possible. A local Dallas criminal defense attorney will assist you with your case and help you through your legal matters.

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