Treasury Secretary Scott Bessent’s Mortgage Declarations Resemble Allegations Against Fed Governor Lisa Cook
Documents obtained by Bloomberg reveal that in September 2007, Treasury Secretary Scott Bessent simultaneously designated two separate homes—one in Bedford Hills, New York, and another in Provincetown, Massachusetts—as his “principal residence.” This disclosure parallels claims cited by former President Donald Trump in his attempt to dismiss Federal Reserve Governor Lisa Cook over alleged mortgage fraud.
Background on the Cook Investigation
Lisa Cook, who joined the Federal Reserve Board in 2021, faces scrutiny after signing mortgage agreements that identified two properties—in Ann Arbor, Michigan, and Atlanta, Georgia—as her principal residences within a two-week span. The Federal Housing Finance Agency Director Bill Pulte publicly accused Cook of mortgage fraud after posting her documents on social media. Following Pulte’s criminal referral, the Justice Department initiated an investigation into Cook’s mortgage declarations, which she denies.
Trump’s Attempts to Remove Cook
Trump cited Pulte’s allegations when he announced Cook’s removal from the Fed in August 2025, a move blocked by federal courts pending litigation. Observers note Trump’s effort coincided with his unsuccessful efforts to pressure the Federal Reserve to reduce interest rates.
Bessent’s Mortgage Details and Response
Unlike Cook, Bessent’s mortgage agreements were signed by his attorney under a power of attorney. Bank of America, the lender for both of Bessent’s properties, clarified in correspondence that both Bedford Hills and Provincetown properties were considered secondary residences, with his primary residence located in Manhattan. The bank further stated that interest rates on the mortgages were unaffected by the residence classification and that neither loan involved government-sponsored entities.
Bessent’s lawyer, Alex Spiro, criticized Bloomberg’s report, emphasizing that all paperwork was correctly completed nearly two decades ago and that no wrongdoing occurred. Charles Rich, the attorney who signed the mortgage documents on Bessent’s behalf, confirmed that Bank of America was fully informed of the properties’ statuses and waived any principal residence requirements.
Comparison and Context
While both Bessent and Cook declared multiple properties as principal residences, Bloomberg noted key differences: Cook personally signed her mortgage agreements with different lenders, whereas Bessent’s documents were signed by an agent for the same lender. Mortgage experts suggest that neither case necessarily indicates fraud, as lenders appeared aware of the borrowers’ intentions.
The White House dismissed Bloomberg’s report as inaccurate, affirming confidence in Secretary Bessent.
FinOracleAI — Market View
The revelation that Treasury Secretary Scott Bessent’s mortgage declarations resemble the contested claims against Fed Governor Lisa Cook introduces potential reputational risks for the Treasury Department amid ongoing political tensions. However, the clarification from Bank of America and Bessent’s legal team reduces the likelihood of regulatory or legal repercussions against Bessent.
Investors should monitor developments in the Justice Department’s investigation into Cook, as any escalation could intensify political uncertainty surrounding Federal Reserve governance. The broader market impact remains limited unless further evidence suggests systemic mortgage fraud among senior financial officials.
Impact: Neutral
