Be Suspicious of Last-Minute Wire Changes

One of the most dangerous real estate scams involves fraudulent wiring instructions.

A criminal may gain access to an email account or create an address that closely resembles one belonging to your title company, attorney, lender, or real estate agent. Near closing, you receive an email saying the wiring instructions have changed and that your down payment or closing funds should be sent to a different account.

The message may look completely legitimate. It might include your name, property address, closing date, and other details about the transaction.

That is what makes these scams so effective.

The FBI warns that business email compromise schemes can involve criminals impersonating a title company and sending homebuyers fraudulent instructions for wiring their down payment.

Before sending any wire, independently verify the instructions. Call your title company or closing professional using a phone number you already know is legitimate, not a number included in the email containing the wiring instructions.

If someone tells you the instructions have suddenly changed, stop. Verify the change through a trusted contact before moving any money.

Make Sure the Title Company Is Real

Scammers can also create websites, email addresses, documents, and business names that closely resemble legitimate title or settlement companies.

Before sending personal information or money, verify who you are dealing with.

Look up the company independently rather than relying solely on links or contact information sent by email. Confirm the company’s address and phone number, and make sure the closing professional you are communicating with is someone connected to your transaction.

Be cautious if a supposed title company pressures you to act immediately, discourages you from speaking with your lender or real estate agent, or provides contact information that changes unexpectedly.

Real estate fraud can include seller impersonation, forged documents, fraudulent ownership claims, and attempts to redirect closing funds. The American Land Title Association reports that these types of schemes remain an ongoing threat to real estate transactions.

Read Your Closing Documents Carefully

A busy closing day can make it tempting to skim paperwork and sign quickly. Resist that temptation.

Review names, property addresses, loan amounts, fees, account information, and other important details. If something differs from what you previously discussed with your lender or closing professional, ask questions before signing or sending money.

Mortgage borrowers generally receive a Closing Disclosure before closing that provides final information about their loan, payments, fees, and other costs. Reviewing it ahead of time can give you an opportunity to identify unexpected changes.

Pay particular attention to unexpected fees, unfamiliar company names, spelling changes, altered account information, or documents that look different from earlier versions.

A small discrepancy could be an innocent error, but it could also be a warning sign.

Slow Down When Someone Creates Urgency

Fraudsters often want victims to act before they have time to verify what is happening.

Messages such as “Wire the funds immediately,” “Your closing will be canceled,” or “Do not contact anyone else about this change” should raise concerns.

A legitimate professional should understand why you want to confirm instructions involving a large transfer of money.

Before acting, use what we like to call a trusted channel: contact your lender, title company, attorney, or real estate professional using contact information you obtained independently and have previously verified.

Those extra few minutes could protect your entire down payment.

If You Think You Sent Money to a Scammer, Act Immediately

If you believe a fraudulent wire has been sent, time matters.

Contact us immediately and explain that you may have been the victim of wire fraud. Ask whether the transfer can be recalled or frozen. You can call us at (330) 341-8741 or toll- free at (800) 948-1262. The FBI also recommends reporting business email compromise incidents to the Internet Crime Complaint Center.

You should also notify the legitimate title company, lender, attorney, or other professionals involved in the transaction so they can investigate whether an email account or communication channel may have been compromised.

Protect Your Home Purchase Before You Send

Buying a home should be exciting, not an opportunity for a criminal to steal the money you worked hard to save.

Before sending closing funds, remember three simple steps: stop, verify, and then send. Never rely solely on an emailed request involving money, especially when account information has changed.

At Consumers National Bank, protecting our customers is an important part of helping them reach their financial goals. If something about a wire request or banking transaction does not seem right, contact Consumers National Bank before sending the funds. Taking time to verify could make all the difference.

Fraud Friday Tip:When money and real estate are involved, a last-minute change should always trigger one more phone call.