Mortgage fraud

Hi there little one! Today, we're going to talk about something called mortgage fraud.

You know how sometimes your parents ask you to do your homework, and you say you did it, but you really didn't? Well, some people do something similar with buying houses. They say they have more money than they actually do, or they lie about their income so they can get a bigger loan from the bank to buy a fancy house. This is mortgage fraud.

Sometimes, people work together to commit mortgage fraud. This is like when you and your friends want to jump over a really high hurdle, but none of you can do it alone. So, you hold hands and try to jump over it together. Except in this case, people work together to lie to the bank to get a bigger loan.

Mortgage fraud is not allowed and it's against the law, just like cheating on your homework would get you in trouble. If someone is caught committing mortgage fraud, they could go to jail, be fined a lot of money, and even lose their house.

So, it's important to be honest with the bank when getting a mortgage loan. It's not worth getting into trouble just to have a bigger or fancier house than you can actually afford.