In New York, mortgage fraud is a white-collar criminal offense that carries significant penalties. Mortgage fraud can be a complicated offense to understand as it can involve both mortgage lenders and borrowers. Mortgage fraud occurs when someone lies or deliberately tries to commit important information during the mortgage application process to make an illegal profit. If you have been charged with mortgage fraud, you need to retain our seasoned Nassau County Criminal Defense Attorneys who can protect your rights and interests.
What are the potential penalties for mortgage fraud in New York?
There are several different forms of mortgage fraud. However, the two most common involve are residential and professional mortgage fraud. Residential fraud occurs when a borrower provides fraudulent information to a lender during the mortgage application process. Professional fraud occurs when a lender cheats a borrower to make a profit. Essentially, professional fraud can involve multiple parties.
Mortgage fraud is punished by harsh penalties. In New York, if you take more than $1,000 in a mortgage fraud scheme, it makes the offense a felony. If the offense involves less than $1,000 taken as part of a mortgage fraud scheme it will be considered a misdemeanor. It is important to note that mortgage fraud can involve different crimes at either the state or federal level. Therefore, you can face federal prosecution if your mortgage fraud scheme involved crossing state lines. Mortgage fraud schemes usually involve federal offenses such as bank fraud, wire fraud, and mail fraud. These offenses will increase the severity of your penalties.
If convicted you can expect a lengthy prison sentence. At the federal level, you can be subject to up to 30 years in prison. Typically, if you are convicted of misdemeanor fraud, you will face up to a year of jail time. Additionally, fines for mortgage fraud are often expensive. Professional fraud carries extremely high fines. If you are convicted of a single count of federal mortgage fraud it can result in fines of up to $1 million. If you are convicted of misdemeanor fraud, you may be subject to fines of $100,000 or more. If you are convicted, you will also likely have to make restitution payments to compensate the injured party for your crime. Furthermore, you will also likely face probation for a certain period. It is also important to note that residential mortgage fraud in the first degree is classified as a class B felony. If you are convicted, it is punishable by up to 25 years of jail time as well as a probation sentence of up to 5 years followed by hefty fines.
In the unfortunate event that you have been charged with mortgage fraud, it is in your immediate interest to hire a skilled Nassau County criminal defense attorney. Our firm is prepared to help you navigate the charges brought against you to achieve a favorable outcome.