Watch Out For Wire Fraud In Mortgage Transactions!

February 22nd, 2018

Police and frog thief

New home purchasers can get caught up in a wire fraud scam in a mortgage transaction by cyber criminals if they aren’t careful!  This type of fraud is happening more often.  Some borrowers are fortunate enough to have a bank that recognizes that money is being sent to a suspicious account and the wire gets stopped. Otherwise, the mortgage borrower can lose their entire down payment on the house.

Once a wire goes out to another bank it’s almost impossible to pull it back, even when there is fraud involved.

Phishing emails

It appears that scammers are monitoring email traffic for people who look like they are in the middle of a mortgage transaction. Once they find these people, they send a phishing email. It is from an email account that looks like it is from the title company involved in the transaction.  The email will include wiring instructions for the mortgage borrower to send the funds to the scammer’s own bank account!

Scam alert notice

We have recently put the below language in our email signature in an attempt to educate people about this wire fraud scam:

“IMPORTANT NOTICE: Never trust wiring instructions sent via email. These could be from Cybercriminals and include fake wiring instructions. These emails are convincing and use similar email addresses to a settlement agent or party in the transaction. Always independently confirm wiring instructions in person or via a telephone call to a trusted and verified phone number.”

It’s important to always call the title company in a real estate transaction. Obtain the wiring instructions over the phone. Otherwise, you could be scammed out of a lot of money.


Check out our buyer’s guide to closing on a house for other important information. Get pre-approved before you’re ready to start shopping. Then I’ll help you learn how to shop for the right home.

Brian Martucci is a loan officer for Capital Bank Home Loans, a division of Capital Bank, N.A. He has been in the mortgage industry since 1986 and has served in a number of roles, including loan processor, loan officer, mortgage broker, branch manager, and vice president. Brian Martucci – NMLS# 185421. His opinions do not necessarily reflect the opinions and beliefs of Capital Bank Home Loans or Capital Bank. Capital Bank, N.A.- NMLS# 401599. Click here for the Capital Bank, N.A. “Privacy Policy”.

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