The Intermediary – August 2025 - Flipbook - Page 54
SPECIALIST FINANCE
Opinion
Standing Together
F
raud remains
one of the
most pressing
and persistent
threats facing
the short-term
property finance sector. In a market
built on speed, complexity and trust,
the impact of fraudulent activity can
be swi and severe, causing significant
damage to lender balance sheets and
undermining confidence among
customers.
As bridging and development
lending continues to grow in both
volume and sophistication, so too does
the threat posed by those seeking to
exploit it.
It’s oen said that fraudsters only
need to get it right once. In a single
successful instance, a criminal can
inflict damage that takes months, or
even years, for a lender to repair.
What makes this even more
dangerous in the context of our
market is that bridging loans tend
to be high value, time sensitive,
and frequently involve third-party
intermediaries.
All of this creates a fertile
environment for those with malicious
intent, especially when you factor in
the growing accessibility of tools that
enable digital deception.
In recent years, the capability
to commit fraud has become
commoditised. Sophisticated identity
falsification, synthetic borrower
profiles and forged documentation are
no longer the preserve of organised
crime groups. These tools are now
widely available and can be used by
anyone with the intent and the knowhow. The barriers to entry are lower
than ever, and that’s a serious concern.
VIC JANNELS
is CEO of the Bridging &
Development Lenders
Association (BDLA)
Driving the issue
Understanding what drives fraud
is essential if we are to tackle it
effectively. The fraud diamond
model gives us a useful framework:
pressure, opportunity, capability and
rationalisation.
While all four play a role, it’s the
opportunity and capability elements
where we, as an industry, can make
the most difference. That is the true
baleground, because we cannot
remove the personal pressures or
motivations that lead someone to
rationalise fraud, but we can certainly
reduce their chances of succeeding.
That’s why I’m proud to announce
the launch of a major new initiative
from the BDLA. Working in
collaboration with Synectics Solutions
– the data intelligence specialists
behind the SIRA platform – we are
introducing a bespoke early warning
fraud intelligence sharing system
tailored specifically to the needs of
bridging and development lenders.
This new solution will allow BDLA
members to share real-time alerts
when suspicious paerns or anomalies
arise, helping to raise red flags and
reduce the risk of fraud before it
takes hold.
For the first time, lenders of all
sizes will have access to a level of
