Interthinx Inc., a provider of risk mitigation, mortgage fraud prevention and regulatory compliance tools for the mortgage industry, has integrated Mortgage Electronic Registration Systems Inc. (MERS) data into its FraudGUARD scoring system. According to the company, this data can help detect undisclosed properties, reveal investors claiming owner occupancy and uncover recently closed loans that could indicate a borrower's intent to commit mortgage fraud.
‘Shotgunning is a simultaneous closing scheme that occurs when a borrower takes out multiple loans on the same property,’ explains Connie Wilson, executive vice president of Interthinx. ‘It can easily go undetected when lenders cannot quickly search for loans associated with the borrower or subject property. This new feature allows FraudGUARD users to automatically access the MERS database of registered real-estate transactions to conduct such searches during the FraudGUARD scoring process for automated detection of potential fraud before funding a loan.’
Source: Interthinx