Exaggerated mortgage applications

Just a thought I had this morning after a conversation. What happens when people throw the keys back at the banks and the banks discover that the remortgage Joe Bloggs received from them during the boom wasn't actually put into the house/apartment but was spent hearsay? Will there be fraud charges?

Thats an interesting question. I don't have the answer to it but can imagine that half of Ireland would find themselves with a fraud charge if that were the case!

When someone remortgages their property, I don't think they are obliged to put the money into their house. It is just that the loan is secured on the house.