Expert: Training Key to Preventing Fraud

Training of employees is one of the keys to preventing mortgage fraud, and companies need to hold internal presentations to arm them with information, according to an expert on the topic who addressed the SourceMedia Mortgage Fraud Conference.Matt Holland, assistant vice president and residential mortgage fraud manager for Sovereign Bank, added that people need to attend such seminars and take information back to their companies to "share the knowledge." This, he said, helps to "contain a problem that is out of control." Lenders need to talk with their brokers and correspondents and tell them that policies to deter fraud are being implemented. This at least puts them on notice, or might even deter them from committing fraud, Mr. Holland said. It is also important, he said, to talk with other industry professionals and share the names of those committing fraud.