“ ALERT! BEWARE OF WIRE FRAUD SCAM

Several title insurance companies have recently issued warnings about the rise of a fraud scam being used to steal wired funds in real estate transactions. Hackers monitoring the Internet have hacked into the email accounts of one or more of the parties in a real estate transaction. The hackers then send legitimate looking emails purportedly from the escrow or title company directing the buyer to wire transfer funds (deposit or down payment). Instead of going to the escrow or title company the funds end up in the hacker's account. Once that has happened, there is very little real chance of recovering the funds. The same scam can be used to trick the seller into wiring their sales proceeds into the hacker's account.

The title companies strongly recommend that immediate steps be taken to secure computer systems and email accounts in order to safeguard against this type of scheme. Buyers and sellers should be advised to confirm all emailed wiring instructions directly with the escrow or title company. Many on-line sources provide information on this topic, including the following: the Federal Bureau of Investigation www.fbi.gov ; the Internet Crime Complaint Center www.ic3.gov ; the National White Collar Crime Center www.nw3c.org ; On Guard Online www.onguardonline.gov . “

C.A.R NEWSLINE,