Imagine you are buying a home and you receive email instructions for wiring your funds for closing. The email may come from you think is the Title Company, your Mortgage Officer, or your REALTOR®.
You follow the instructions only to find out later that is was a scam. Your funds for closing, which might be tens of thousands of dollars in some cases has vanished. You’ve been duped.
This type of scheme is more and more prevalent these days. Digital scammers hack email accounts and troll those accounts for what looks like a real estate transaction in the works. They create a fake email which looks legitimate. Unsuspecting buyers and sellers fall for this every day.
What can you do to protect yourself.
As soon as you know the phone number for the Title Company closing your transaction, put their number into your phone. If you get any kind of instructions for wiring funds, pick up your phone and call to confirm. Nowadays, those kinds of instructions are NOT sent by email.
Do not call the number in the email. It’s bogus too.
Be wary of any email about wiring funds. It might come as a request to “verify” the instructions or to “change” the instructions. Be cautious and suspicious.
Only accept instructions from a trusted person. In fact, rather than accepting instructions from a phone call you receive, hang up and call the Title Company yourself.
Once you’ve wired funds to the Title Company then call to confirm they have been received.
What should you do if you suspect fraud?
- Tell your REALTOR® and get them involved
- Tell the Title Company and get them involved
- Contact your bank and let them now you suspect fraud
- Contact your local FBI office
Always err on the side of caution. You’ll be glad you did.
