I've got a NEW mortgage fraud term to add to the ever growing list of mortgage fraud scams . . .Applying for multiple loans at the same time -- a process known by the authorities as "shotgunning" -- is the fraud d'jour.
"In a scam the authorities have labeled "shotgunning," property owners apply for home equity loans with multiple lenders at the same time. In one case, a would-be borrower applied with three different lenders over a 48-hour period. Because the lenders did not all report into the same credit bureau, none were aware the same owner had simultaneously applied elsewhere as well."
Lew Sichelman of Realty Times has the details - Click here for the full story: