Protecting Buyers and Sellers from Wire Fraud Scams

When it comes to purchasing, renting, or refinancing a home mortgage, the last thing anyone wants to worry about is falling victim to fraudulent schemes. Regrettably, criminals are becoming more inventive in their approaches to target consumers. Data from the Federal Bureau of Investigation’s Internet Crime Complaint Center reveals that in 2021 alone, over 11,578 individuals reported real estate or rental fraud incidents. Similarly, the FBI’s report for 2020 stated that nearly 14,000 people experienced real estate and rental scams, resulting in losses exceeding $213 million.

The process of buying a home already carries significant pressure, and in a competitive real estate market, the temptation to act swiftly upon finding the perfect property is ever-present. Unfortunately, scam artists often capitalize on this situation by deceiving potential buyers into paying for non-existent properties or misrepresenting the terms of the transaction. Thankfully, there are preventive measures to avoid falling prey to real estate scams. By familiarizing yourself with warning signs and the most prevalent types of scams, you can better equip yourself to safeguard against them.

Warning Signs
To safeguard yourself against real estate scams, it is crucial to familiarize yourself with common indicators, which is particularly vital for first-time home buyers who may need to become more acquainted with the intricacies of the home-buying journey. Key warning signs to watch out for include the absence of proper documentation, excessive and unreasonable pressure to make immediate decisions, promises that seem too good to be true, and requests for wire transfers as down payments for services that promise life-altering outcomes.

How to Protect Yourself

Real estate scams can pose challenges since scammers often utilize advanced technology and engage with their targets digitally. However, it is vital to remain vigilant in safeguarding personal information and bank accounts. At Closinglock, we understand that the process of purchasing a home should be an exciting experience, just like owning one. Our secure platform enables title companies to focus on expanding their business and ensuring a seamless client experience. By prioritizing the long-term best interests of our customers and actively listening to their needs, we have successfully protected over $220 Billion in real estate transactions. Our commitment lies in preventing personal and bank account information from falling into the wrong hands.

Our platform offers a user-friendly experience without the need for registration, downloading apps, or remembering passwords. It ensures the utmost security through 256-bit AES encryption and is SOC 2, Type II compliant. By minimizing time spent on phone calls and manual tasks, your escrow officers can concentrate on expanding your business and cultivating satisfied customers. In the title business, maintaining a balance between excellent customer service and client safety is an ongoing challenge. However, Closinglock provides the ideal solution by offering ease of use for clients while ensuring robust security measures throughout the closing process. Let us know if you’d like to see how our platform works and how it fits into your title workflow!