Mortgage problem? No problem. Just lie.

“As much as 70 percent of recent early payment defaults had fraudulent misrepresentations on their original loan applications,” according to research on more than three million loans done by BasePoint Analytics. “Many of the frauds were simple rather than ingenious. In some cases, borrowers who were asked to state their incomes just lied, sometimes reporting five times actual income; other borrowers falsified income documents by using computers. Too often, mortgage originators and middlemen looked the other way rather than slowing down the process or insisting on adequate documentation of income and assets. As long as housing prices kept rising, it didn’t seem to matter.”

"Borrowers who were asked to state their incomes just lied, sometimes reporting five times actual income." Rico says damn, why didn't he think of that?