Saturday, September 22, 2018

Don’t lose your deposit in a wire transfer scam

I’ve never been a detective, FBI agent, private investigator, or internet security analyst.

But despite this lack of accreditation and work experience, I do know that you have to be aware of hackers and scammers when it comes to electronically sending money for your initial deposit and your closing funds when buying a house.

There’s even a Wire and Electronic Funds Transfer Advisory (CAR form WFA) included in every Residential Purchase Agreement, which outlines the steps buyers should take when setting up their wire transfers.

To me, the following advice, copied directly from the WFA, is the most important:

1. Obtain phone numbers and account numbers only from escrow officers, property managers, or landlords at the beginning of the transaction.

2. Do not ever wire or electronically transfer funds prior to calling to confirm the transfer instructions. Only use a phone number you were provided previously. Do not use any different phone numbers or account numbers not included in any emailed transfer instructions.

3. Orally confirm the transfer instruction is legitimate and confirm the bank routing number, account numbers and other codes before taking steps to transfer the funds.

4. Avoid sending personal information in emails or texts. Provide such information in person or over the telephone directly to the escrow officer, property manager, or landlord.

5. Take steps to secure the system you are using with your email account. These steps include creating strong passwords, using secure WiFi, and not using free services.

So here’s how this works logistically.  You will receive an email from the escrow company introducing themselves and letting you know you will be receiving a secured email from their escrow company with your wire instructions.

You will open this second email and click on a secure link that will take you to a password or security question prompt.  Once you successfully enter the password or answer the security question, you will be able to download the wire instructions.

Then, you will call the number on the first email — the one where the escrow officer introduced him or herself, not the phone number on the escrow instructions.  You will ask to speak directly to the person at the escrow company who sent you the first email.  You will read the bank information, routing number, account number, escrow number, and if it is an international funds transfer, you will confirm the swift code.

If all of this information is confirmed, you can set up the wire transfer accordingly.

Yes, you really have to do this to make certain you don’t become the next victim of wire fraud.

Please know that the only people who should give you wire instructions are the escrow officer in the case of a home purchase, and the property manager or landlord in the case of a lease.  Your Realtor, lender, or home inspector will not be the one giving you the wiring instructions.

Leslie Sargent Eskildsen is an agent with Realty One Group. She can be reached at 949-678-3373 or leslie@leslieeskildsen.com.

Posted by https://goo.gl/TXzGV5

No comments:

Post a Comment