Overstating Income Helped Sink Mortgage Industry

Daily BreezeMarch 16, 2008

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Summary


It's become clear that financial shenanigans are partly to blame for bogging down the mortgage industry. The depth of the quagmire has been the great unknown.

But Interthinx, an Agoura Hills-based company that provides risk- mitigation and regulatory-compliance tools for the financial- services industry, says the hole is pretty deep.

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Extract


Overstating Income Helped Sink Mortgage Industry

Company analysts found that in the last half of 2007, about 42,000 mortgage applications for property valued at $11billion misrepresented the bor...

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