On the whole, the number of reported cases of investment fraud has remained relatively stable over the past few years. According to the FTC, there were 16,057 reported cases of investment fraud in 2017, 15,456 cases in 2018, and 16,708 cases in 2019.
Despite the slight uptick, investment fraud has made up a similar percentage of total reports. Investment fraud accounted for 0.55% of reports overall in 2017, 0.50% in 2018, and 0.52% in 2019.
Credit bureau fraud
This type of fraud is relevant to real estate investors who follow a buy-and-hold strategy and perform credit checks on potential tenants.
Credit bureau or credit reporting agency (CRA) fraud occurs when a CRA provides inaccurate information on a consumer credit report, refuses to reinvestigate disputed information, or offers inadequate assistance.
It can also happen when companies provide incompletely or inaccurate information to consumers or credit bureaus.