What is the term for a scam involving a forged signature on a deed?

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Prepare for the NMLS Uniform State Test with flashcards and multiple-choice questions with hints and explanations. Get ready for your exam!

The correct term for a scam involving a forged signature on a deed is title fraud. Title fraud occurs when an individual illegally transfers ownership of a property by falsifying a signature on the deed, which can result in the rightful owner losing their property without their knowledge. This might involve creating counterfeit documents or using stolen identities to bypass legal safeguards.

Understanding this concept is vital in the realm of real estate transactions, as it highlights the importance of verifying title and ownership when buying or transferring property. Being aware of title fraud helps in mitigating risks and ensuring that property transactions are legitimate and legal. The other terms, while related to property fraud, do not specifically refer to the act of forging signatures on a deed.

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