Home News CBA enhances security operations to prevent mortgage fraud

CBA enhances security operations to prevent mortgage fraud

Font size :
The Commonwealth Bank of Australia is overhauling its mortgage operations to ensure security and transparency when dealing with mortgage brokers in a bid to stop mortgage fraud.

According to a report by the Australian Financial Review, the new system will allow CBA to detect suspected fraud or irregularities through an individual assessment of each application by the case officer.  The new system will also be able to tell whether mortgage brokers have been “duped into processing” fraudulent applications or were complicit.

The CBA’s move comes after other banks also took steps in enhancing scrutiny on applications, especially those coming from foreign buyers. ANZ recently found out forged and falsified information in their home loan applications from foreign buyers. Westpac, Adelaide Bank, and Bendigo also increased their security when it comes to accepting applications from foreign buyers. However, the scale of mortgage fraud is yet to be known.

“It is too soon to assess the extent of the frauds, but the suspicion is that it is more widespread than just a few bad apples,” said Digital Finance Analytics principal Martin North. “We need to know, were the documents to do with falsifying an otherwise kosher loan, or was it a more structured money laundering scam, perhaps in collusion with real estate agents and brokers? We just do not know.”

Whether you are looking to buy your first home, move home, refinance, or invest in property, a mortgage broker can help. Access loans from all the major lenders, get help with paperwork – plus there is no charge for this service. Get help from a local mortgage broker

Mortgage News and Articles

House prices return to more affordable levels in mining towns House prices return to more affordable levels in mining towns

While the end of the mining boom has had a negative impact on property prices, homes in the region have become more affordable Read more

Borrowers should anticipate a possible rate hike Borrowers should anticipate a possible rate hike Some experts advise borrowers to look for a fixed loan that allows extra repayments so that they can whittle down the balance sooner ... Read more

Why choosing the right mortgage is hard for first-home buyers Why choosing the right mortgage is hard for first-home buyers Many feel overwhelmed by the sheer range of products and interest rates on offer, a new survey reveals ... Read more

Mortgage applications drop in second quarter Mortgage applications drop in second quarter This marks the “beginning” of a downward trend, says Equifax executive ... Read more

More mortgage news and articles

Sponsored Links

Thursday, Jul 27, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Whether you're a first homebuyer, looking to refinance, or investing, it's important to have the right loan for your needs. Just fill in a few details below and one of our trusted mortgage advisers will contact you.

A quick & easy way to find the right home loan
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords