Landlords are vulnerable to fraud and identity theft We regularly hear about rogue landlords and how they're treating tenants badly. What we don't hear about very often are the problems rogue tenants cause landlords, which, in some cases, have even resulted in their buy to let property being sold without their knowledge. The main way tenants can cause harm to landlords is from an identity perspective. First, through identity theft, when tenants take a landlord's personal information without their consent. For example, tenants might be living in the property and open post addressed to you that contains your personal details - such as a utility bill or insurance renewal. This kind of paperwork can also be taken by prospective tenants if you allow them to view the property by themselves, or they can even use personal information from adverts you place online. Second, tenants can carry out identity fraud. This is when your information is used to forge documents such as a passport or driving licence, or they pretend to be you to secure loans, a mortgage or even a new credit card in your name, which they can take on a spending spree. According to CIFAS, a non-profit making organisation dedicated to the prevention of fraud, there were 96,000 victims of identity theft in 2011, so be aware it could happen to you and take care with your personal information. The third way tenants can cheat landlords is by falsely representing their own identity. By falsifying passports, driving licences, bank statements and utility bills and giving fake references, they can pass a credit check in someone else's name. A quality lettings agent should vet tenants well for you, but check your terms of business with them to see who is responsible if the tenant turns out to be someone other than who they say they are. If you vet tenants yourself, make sure you carry out thorough referencing, as bad tenants will end up not paying rent and the eviction process to get them out of your property can be time consuming and costly. According to Sweet and Maxwell, the legal information provider, the number of tenants being evicted for non-payment of rent leapt by 17 per cent between 2008 and 2012. So whatever paperwork your tenant gives you, make sure you check it, especially if it's something you're not familiar with, such as overseas identification documents. Extra precautions, such as taking a car registration number or asking for three months" bank statements can help catch them out or track them down later. And if they have a guarantor, don't just post or hand the paperwork to the tenant, speak to and ideally visit the guarantor to make sure they understand their role and vet them as you would the tenant. Another serious fraud problem for landlords is having a property sold without their knowledge. This is such a major problem now that the Land Registry has created a system to alert you if this might be happening with one of your properties. In 2011, there were 52 claims paid out for property fraud and forgery, of which 22 involved an absent owner, so they believe as a landlord you are particularly vulnerable, especially if you own the property outright. To prevent this from happening to you, check your property is registered with the Land Registry, keep it up to date with your details and place a "restriction on your title" - which is free of charge. Being a landlord is a huge responsibility and even renting just one property makes you vulnerable to fraud, so make sure you do everything you can to protect yourself and your investment.