Regulatory Alerts2009-04-06 | FinCEN Advisory – FIN-2009-A001Added
Guidance to Financial Institutions on Filing Suspicious Activity Reports regarding Loan Modification/Foreclosure Rescue Scams
FinCEN requests that financial institutions include the term “foreclosure rescue scam” in the narrative portions of relevant Suspicious Activity Reports and provide complete suspect information in the Suspect/Subject Information Section. The advisory outlines specific indicators of such scams, such as up-front fees, aggressive tactics, and instructions to avoid contacting lenders, to help institutions identify fraudulent activity. It further instructs institutions to treat homeowners as victims rather than suspects unless there is evidence of knowing participation in the fraud.