[ladyjane]

I read the other day that half the people who got no-doc loans had inflated their annual income by more than 50%.

Isn’t it a federal offense to lie on a mortgage application?

[vetsvette]

“I read the other day that half the people who got no-doc loans had inflated their annual income by more than 50%.

Isn’t it a federal offense to lie on a mortgage application?”

I heard that as well, but in the context that it was the mortgage brokers that were inflating the income figures. The borrowers signed those phony documents, of course, but my guess is that most of them didn’t even know that they had been rigged.