The Real Deal Miami

Groups call for revival of mortgage fraud fund

September 24, 2008 10:51AM

The Florida Association of Mortgage Brokers and AARP say the state should reinstate a program to reimburse victims of mortgage fraud. The Mortgage Brokerage Guaranty Fund, which paid up to $20,000 to individual victims, was shut down in the 1990s. Florida is one of only three states in the nation that does not offer protections for borrowers scammed in home loan frauds. With Florida steeped in the nation’s highest level of mortgage fraud, several lawmakers overseeing the home loan industry said they’ll support legislation for the type of program now being pushed by the two statewide groups.