Fraud Prevention Month 2026: What mortgage fraud means for Alberta's brokers, borrowers, and the housing industry

Every March, Canadians recognize Fraud Prevention Month. This nationwide initiative helps people learn how to recognize, reject, and report fraud, with a strong focus on protecting both consumers and professionals. This message is especially relevant for Alberta’s mortgage industry, where fraud trends continue to evolve at a quick pace.

​Mortgage fraud affects everyone: brokers, homebuyers, homeowners, lenders, and regulators. Understanding the current landscape is essential for maintaining integrity and stability in Alberta’s housing market.

The Fraud Landscape in Alberta Today

​​Mortgage fraud remains a significant concern across Canada, and Alberta consistently reports higher than average rates. Recent reports show:

​• Alberta, Ontario, and Quebec continue to report higher-than-average rates of mortgage fraud compared to other provinces.
• More than 95 percent of fraudulent applications involved falsified income or financial documents. Fraudsters continue to refine their tactics.

Advanced tools such as generative artificial intelligence are now used to create realistic fake documents, deepfake videos, and impersonations that can deceive both professionals and consumers.

What Fraud Prevention Means for Mortgage Brokers

Brokers play a central role in safeguarding borrowers and lenders. Their ability to identify questionable applications is vital.

Recognizing Common Red Flags​
Brokers across the country report an increase in:
​
• Manipulated bank statements and pay stubs designed to mimic legitimate deposits. Some applicants use staged biweekly deposits to imitate salaried income.
• Artificially generated identification and income documents created using sophisticated digital tools.  

Using Enhanced Verification Tools
To address rising falsification, the Canada Revenue Agency (CRA) has been working with mortgage industry members to design a secure income verification system. Industry support for this initiative is extremely strong, and many professionals believe it will significantly reduce document fraud.

What Fraud Prevention Means for Homebuyers and Homeowners

Consumers also face increasing risks. Mortgage fraud does not only occur when someone intentionally provides false information. It can also occur when individuals are misled or pressured by dishonest actors.

Examples include:
• Misrepresenting income, employment, or occupancy to qualify for a mortgage
• Falling victim to identity theft
• Being encouraged to participate in schemes involving falsified documents

These risks are rising as digital mortgage processes become more common.

Avoiding High Pressure Tactics
A common tactic among fraudsters is urgency. They may insist that there is no time to review documents or seek independent advice. This is a clear warning sign. Genuine professionals will never
discourage due diligence.

​Accessing Reliable Resources
MortgageFraud.ca provides clear information on how fraud works, how to detect red flags, and how to report concerns. Canadians lose more than one billion dollars each year to mortgage related fraud, making consumer education critically important.

How Albertans Can Strengthen Fraud Prevention this March

For Mortgage Brokers
Verify all income and identification thoroughly using trusted sources Stay informed about emerging digital fraud tactics Use regulatory checklists and reporting tools.

For Homebuyers and Homeowners
Never misrepresent personal information Protect financial and personal documents Take your time reviewing contracts and seek independent advice.

​For Industry Leaders
Encourage communication between organizations Establish clear verification policies Provide fraud awareness training for staff.

Fraud Prevention Month is an opportunity for everyone in Alberta’s mortgage industry to re-commit to protecting the public and maintaining trust in our housing market.

​Awareness, collaboration, and vigilance can significantly reduce the risks posed by evolving fraud tactics.

​Protect yourself. Stay Informed.  
#FPM2026

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AMBA Affinity Partner, The AML Shop, has special pricing for AMBA Members on services including compliance training seminars, custom risk management plans, and more. ​Members can request other changes to their compliance program documents, which will be charged hourly at 80% of their current rate.
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AMBA also has two informative webinars tailored to the mortgage industry on PCMLTFA and FINTRAC, both available in the Member Portal for viewing.

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