How to avoid fake land titles as collateral of borrowers for private loans

[Alexandoy]

In the news last night was the arrest of scammers who are taking a loan from a private lender with a fake property title for a collateral. This reminds me of our home that was mortgaged to a private lender for 250,000 pesos. After 1 year (when we redeemed the title) the total balance was 410,000 pesos already. Anyway, that is another story to tell that I can detail in my next post.

With the title of the property it is advised to check it with the local land registration authority or the real estate assessor which also has the records for verification. Another thing to have is the government ID of the owner. You have to be dealing with the owner and not the representative. You can definitely use the phone’s camera to take not only pictures but videos of the owner for security purposes.

 

[Augusta]

Yea, this is the same with my country checking for title of ownership is very easy to avoid being scammed. You just get to the ministry of lands to check if such a title exists if it does then any transaction can take place. This is why it is always good to involve a lawyer in cases like this

 

[Mataracy]

This use to happen very well especially when it come to collateral. Some people might even go along way to borrow somebody's Certificate of occupancy from people to do collateral later they will run away and the lender will find them self in problem. One need to make good findings on any documents they drop as acollatera.

 

[Deleted member 28127]

This kind of situations are really hard which leads that trust between people becomes lower and for experts check this cases isn't hard but for ordinary people they may face an issue when handling such kind of people, because scammers are always inventing new ways to scam people that might not understand the truth before being scammed.

 

[Chibson]

It is very important that anyone who wants to give people or lend people money should always expect a very good collateral. it is also very important that if someone brings land or a property as a collateral when you want to give him or her a loan, then you should definitely see the documents of ownership of that property and also make enquiries from the neighborhood.

 

[Setho]

There is a particular regulation here that every land owner should register his property with the appropriate authorities. Whenever I am going to lend out money to anybody and it is a huge amount of money I normally employed the services of somebody from the local government to fact check if the person is not trying to give me a land that is not his own.

 

[btaliat]

This situation is very common and it is becoming prevalent because most people always want to go for cheap property. This makes them to fall into these scammers tricks. The best thing to do while purchasing properties is to make sure one seeks the service of a competent property lawyer