How Mortgage Fraud, Bad Loans, and Predatory Lending Caused The Great Recession
The Department of Justice and the Federal Bureau of Investigation both point to mortgage fraud as being one of the primary causes of the housing market crash and mortgage lending meltdown that tipped the United States and the world into recession. In fact, in 2004, the FBI specifically warned that the exponential increase of mortgage fraud could cause banking industry losses and failures comparable to those experienced during the S & L crisis, which cost American taxpayers $132 billion.
