the adviser logo

‘Face-to-face’ interview critical to combating fraud

by James Mitchell5 minute read
equifax mortgage fraud interview man

With mortgage fraud through the broker channel on the rise, an Equifax fraud expert says the initial interview with a client is the best time to uncover fraudsters.

Speaking at the Pepper Insights Roadshow in Sydney last week, Equifax BDM Steve Arsinoski told brokers about the detrimental impact fraudsters can have on their business and suggested how they could avoid reputational damage and loss of accreditation.

To continue reading the rest of this article, create a free account
Already have an account? Sign in

“There are people out there trying to take advantage of the situation that makes your job harder,” Mr Arsinoski said.

“I believe the biggest impact on brokers is the loss of credibility with the lender, with the originator and with the public in general. I have spoken to many brokers and they all say the same thing: reputation and their brand is the most important thing.”


Mr Arsinoksi said the “best opportunity” to uncover fraudsters is during the face-to-face interview, when a broker is doing a thorough needs analysis of their client and verifying their information.

“What I have found and what my experience has taught me is if you ask enough questions, fraudsters are like origami – they will fold under pressure. If something doesn’t smell right, use your intuition and ask questions,” he said.

“Validate their information via internet searches and Facebook. When you’re interviewing someone, have your computer in front of you and validate their information on the spot.”

Equifax data found that online is the preferred channel for fraudsters (57 per cent), while 15 per cent of fraud cases are coming through the broker channel and 13 per cent through branches.

“Thirteen per cent of frauds reported were targeting home loans and there has been a 25 per cent year-on-year increase in frauds originating from the broker channel,” Mr Arsinoski said.

“What we have noticed is that fraud through the broker channel is increasing, and that may be because fraudsters are becoming more sophisticated in the way they are applying for certain products. With the technology they have available they can fabricate certain documentation,” he said.

Equifax data found that 27 per cent of all mortgage fraud cases involved falsifying personal details.

[Related: ASIC slammed for 'persecuting' brokers over customer fraud]

‘Face-to-face’ interview critical to combating fraud
TheAdviser logo

James Mitchell

James Mitchell


James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.


You need to be a member to post comments. Register for free today


matt comyn cba speaking ta bzhun1

CBA CEO acknowledges brokers following mortgage growth

The Commonwealth Bank of Australia (CBA) has released its results for the financial year ended 30 June 2022 and...

wif awards 2021 crowd ta giiu3m

Submissions open for Women in Finance Awards 2022

Hosted by Momentum Media, the Women in Finance Awards is returning for its sixth consecutive year to recognise the...

Cameron Poolman ta

OnDeck confirms origination surge following buyout

In early February, OnDeck Australia’s (OnDeck) executives and investors collectively purchased 80 per cent of the...

Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more