Finance
A Louisiana lender 'red-flags' a loan application where the income listed is significantly higher than what comparable borrowers in similar jobs typically earn. This is called:
AIncome verification
BIncome fraud detection (misrepresentation of income is a form of mortgage fraud)✓ Correct
CStandard underwriting practice
DDiscriminatory income profiling
Explanation
Overstating income on a mortgage application is mortgage fraud. Lenders use fraud detection algorithms to identify income anomalies.
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