VA Mortgage Loan Scams

VA Mortgage Loan Scams
by: Cachet Gomes



VA mortgage loans have proved to be very beneficial for veterans and a
veteran can now enjoy a dream home of his own. The main advantage of VA
mortgage loans is you don’t have to make any down payment. VA mortgage
loan scams are on the rise and consumers are required to keep track of
the proceedings while opting for a veteran mortgage loan.

A VA mortgage loan is guaranteed by Veterans Administration. These loans
are extended only to the veterans. The surviving spouses of veterans are
also entitled to receive the loan guaranteed by the VA. This loan allows
veterans to own a home of their own by making zero down payments.

In order to avail the veteran mortgage loan, you need to qualify and the
eligibility criteria may vary from one person to another. The difference
may be due to duration for which you were in service or type of military
service you were engaged in. You can avail a VA mortgage loan of up to
USD$417,000. In few areas the amount can be higher. If you are a
potential home buyer, you can avail a 100% mortgage loan without shelling
out private mortgage insurance. In case you are a homeowner already, you
can avail 90% for refinancing.

VA mortgage loans are issued by qualified lenders and banks. However,
recently several instances of VA mortgage loan scams have been reported.

Scenario 1

A real estate broker was sent to prison for victimizing innocent people
who had availed VA mortgage loans. The incident occurred in Atlanta when
the real estate broker misappropriated approximately USD$900,000. She
operated in the Atlanta area and arranged for at least 20 real estate
transactions offered by Veteran Administration's Lender Vendor Program.
She operated under 3 different names. She had made false documents, bank
records, wage statements and submitted to the VA so that the VA mortgage
loans get approved. Her main intention was to help veterans get a loan
even if they didn’t qualify for one.

Scenario 2

In another instance involving VA mortgage loans, an officer of the VA
Regional Loan Office was found guilty of carrying out fraudulent
activities. The main work of the officer was to hire contractors for the
repair work and maintenance of residential property, the VA intended to
buy if the veterans fell behind on payments. These loans were only
partially guaranteed by the VA. The officer was imprisoned for a period
of 63 months. He was arrested on the charges that he had accepted bribe
from contractors and hired their services for the maintenance work even
though the quality of work they would be doing wasn't good. The
contractors were paid as much as USD$4 million over a period of 5 years.
In return, the officer received cash payments of more than USD$100,000.
Since the incidence of VA mortgage loan scams is on the rise, every
possible effort is being made to minimize misappropriation of funds.






About The Author
Cachet Gomes is a contributing Financial Writer of Mortgagecases. With
her knowledge on http://www.mortgagecases.com/mortgage
[http://www.mortgagecases.com/mortgage] cases, laws and sub prime
mortgage crisis related issues, she provides information on mortgage
calculators, consumer rights, how to fight out cases and avoid
http://www.mortgagecases.com/frauds/avoid-valoan-scams.html
[http://www.mortgagecases.com/frauds/avoid-valoan-scams.html] VA Mortgage
Loan Scams.

by: Cachet Gomes



VA mortgage loans have proved to be very beneficial for veterans and a
veteran can now enjoy a dream home of his own. The main advantage of VA
mortgage loans is you don’t have to make any down payment. VA mortgage
loan scams are on the rise and consumers are required to keep track of
the proceedings while opting for a veteran mortgage loan.

A VA mortgage loan is guaranteed by Veterans Administration. These loans
are extended only to the veterans. The surviving spouses of veterans are
also entitled to receive the loan guaranteed by the VA. This loan allows
veterans to own a home of their own by making zero down payments.

In order to avail the veteran mortgage loan, you need to qualify and the
eligibility criteria may vary from one person to another. The difference
may be due to duration for which you were in service or type of military
service you were engaged in. You can avail a VA mortgage loan of up to
USD$417,000. In few areas the amount can be higher. If you are a
potential home buyer, you can avail a 100% mortgage loan without shelling
out private mortgage insurance. In case you are a homeowner already, you
can avail 90% for refinancing.

VA mortgage loans are issued by qualified lenders and banks. However,
recently several instances of VA mortgage loan scams have been reported.

Scenario 1

A real estate broker was sent to prison for victimizing innocent people
who had availed VA mortgage loans. The incident occurred in Atlanta when
the real estate broker misappropriated approximately USD$900,000. She
operated in the Atlanta area and arranged for at least 20 real estate
transactions offered by Veteran Administration's Lender Vendor Program.
She operated under 3 different names. She had made false documents, bank
records, wage statements and submitted to the VA so that the VA mortgage
loans get approved. Her main intention was to help veterans get a loan
even if they didn’t qualify for one.

Scenario 2

In another instance involving VA mortgage loans, an officer of the VA
Regional Loan Office was found guilty of carrying out fraudulent
activities. The main work of the officer was to hire contractors for the
repair work and maintenance of residential property, the VA intended to
buy if the veterans fell behind on payments. These loans were only
partially guaranteed by the VA. The officer was imprisoned for a period
of 63 months. He was arrested on the charges that he had accepted bribe
from contractors and hired their services for the maintenance work even
though the quality of work they would be doing wasn't good. The
contractors were paid as much as USD$4 million over a period of 5 years.
In return, the officer received cash payments of more than USD$100,000.
Since the incidence of VA mortgage loan scams is on the rise, every
possible effort is being made to minimize misappropriation of funds.

---

About The Author
Cachet Gomes is a contributing Financial Writer of Mortgagecases. With
her knowledge on http://www.mortgagecases.com/mortgage cases, laws and sub prime
mortgage crisis related issues, she provides information on mortgage
calculators, consumer rights, how to fight out cases and avoid
http://www.mortgagecases.com/frauds/avoid-valoan-scams.html VA Mortgage
Loan Scams.