Scammers may even provide consumers with a phony loan application and fake loan approval documents to add credibility to the scheme. Lying on a loan application may seem harmless, but even if a lender does not verify every piece of information, it is still considered fraud.A fraudulent or negligent misrepresentation can lead to the rescindment of a contract in addition to a payment of damages to the other party who was misled. It's a federal crime to do what you've done. I represented a bank officer in a federal charge very similar to this except there was a big loss. Complete our online form. You can attach up to 3 attachments to your online submission. Forgery is basically altering a document to obtain a financial benefit.