Course Overview
Loan fraud represents significant risk to credit unions. This course teaches comprehensive loan application verification and fraud investigation procedures specific to credit union lending.
Learning Objectives
- Identify loan application fraud red flags
- Master ID and DL verification for loans
- Learn SSN validation procedures and tools
- Understand employment verification
- Develop income verification procedures
- Conduct fraud investigations on suspicious applications
Course Content
Module 1: Loan Fraud Overview (8 minutes)
Types of loan fraud—identity fraud, income fraud, collateral fraud—and impact on credit union loss reserves.
Module 2: Application Red Flags (10 minutes)
Identifying suspicious patterns in loan applications—inconsistencies, missing information, unusual requests.
Module 3: ID and DL Verification (15 minutes)
Comprehensive ID verification procedures including Texas driver's license authentication and multi-document verification.
Module 4: SSN Validation Methods (15 minutes)
SSN verification procedures including verification letters from Social Security Administration and online verification tools. Understanding SSN mismatches.
Module 5: Employment and Income Verification (12 minutes)
Verifying employment information and income claims. Identifying false employment references and fraudulent income documents.
Module 6: Investigation and Documentation (5 minutes)
Investigation procedures for suspected loan fraud and proper documentation for compliance and potential prosecution.
Key Takeaways
- Thorough application verification prevents loan fraud
- Multiple verification methods strengthen validation
- SSN verification is critical to identity confirmation
- Proper documentation protects credit union interests