Fraud prevention is always a priority in property management, but it’s an even bigger issue now that many (or most) interactions occur online. So, how do you really know someone is who they say they are? What steps do you need to take to prevent fraud in your community?
This article is based on a virtual session from our 2021 IRO Summit. Check out the full discussion between Paul Vengilio, owner of LVPM, and Patrick Hennessey, vice president at Yardi. They discussed some refreshingly simple ways to verify renter identify, keep technology on your side and not get bamboozled by fraudsters.
Types of fraud
There are a few common ways fraud occurs. Property managers may recognize these common strategies:
- An applicant poses as someone else (e.g., family helping family when the true resident has bad credit)
- A new, false identity is invented
- The identity is real, but some details are slightly changed