Fake payslips being used for mortgage applications

1/06/2007

Fake payslips are being sold online and this is giving mortgage borrowers a chance to say they are earning more than what they actually earn when applying for a mortgage deal.

You can buy a P60 payslip online for £10, completing the data is strictly up to the borrower; they can put down false figures to complete a high mortgage.

Recently Britain’s credit status has closed up, borrowers owe over £1 trillion in mortgages, loans, overdrafts and various debts.

There are many lenders who offer mortgages up to five times a person’s salary. However they choose not to always check this information with employers.

The firm who forward the payslip cannot conclude if a borrower is being honest or not, simply because tax officials and employers are restricted by the Data Protection Act.

Wageslips4u.co.uk an Internet based company said: 'Sometimes for valid reasons, such as a burglary or fire or flood, clients are unable to produce these documents.'

Maurice Cheng, chief executive said: 'we know that consumer bad debt is rising and we suspect this must be one of the main contributory factors.

'It's so easy now to fake your earnings when applying for mortgages or loans and yet there seem to be no rules against these websites.'

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