|
|
At a Chicago Title Company branch, the employees were used to using the scanner on the remote capture deposit system to scan checks received into escrow for earnest money, down payment and closing costs. After scanning the checks for deposit, the employees locked up the checks each day and destroyed them after holding them for a minimum of thirty days.
On a Friday afternoon in 2012, the branch employees locked up their deposited checks in their document safe and went home for the weekend. On Monday morning, the branch personnel arrived to discover their office had been robbed! They quickly began to inventory missing items. Candy, coffee and the document safe were identified as missing, but nothing else. The manager contacted the local authorities and the landlord to report the theft.
After filing the police report, the branch manager realized her office had just suffered a breach of security. Some of the checks contained in the document safe were cashier's checks which did not present an issue because they did not contain depositors' non–public information. Some of the checks, however, were personal checks written for earnest money deposits, which contained depositors' names, addresses, bank names and bank account numbers.
The manager quickly pulled her deposit history report to uncover which customers were affected by this breach of security. Luckily the number came to less than twenty. She notified the real estate agents representing the buyers of the breach of security. She informed them of her intent to notify each buyer in writing and to provide them with solutions to the problems posed by this breach of security. The notification to the customer read as follows:
| |
Notice of Security Breach
I am regretfully writing to report a recent security incident at Chicago Title Company which may affect you. On ___________, 2012 it was discovered our office located at __________________ was robbed. The thieves stole candy, coffee and our document safe. The document safe contained your original check, which has already been negotiated and paid at the bank. I am concerned if the thieves are able to open the safe, they will have knowledge of your checking account number.
To help prevent unauthorized access and fraudulent activity on your account, we recommend you immediately contact the bank and close your account. Inform them your account may have been compromised, and ask they report it as "closed at customer request."
In addition, I am including a coupon for a year's worth of Credit Check Basic® Credit Monitoring through Experian®. If you elect to redeem the coupon and register with Experian, you will receive one year of automatic daily monitoring of your Experian credit report. Also included are email alerts of key changes to your credit report, as well as identity theft assistance from dedicated Fraud Resolution Representatives.
I regret this incident occurred and want to assure you the Company is reviewing and revising our procedures and practices to minimize the risk of recurrence. Should you need any further information about this incident, please contact the undersigned.
Best regards,
|
| |
| |
WHAT CHANGES HAVE BEEN IMPLEMENTED?
First they had the entire office re–keyed, as they suspect the intruders might have had access to a master building key since there was no evidence of forced entry. Second, a replacement safe was ordered, and this time they made arrangements with the landlord to allow the safe to be bolted to the floor, so it can no longer be removed.
This office has always been careful to protect the non–public information they receive. Files are kept in filing cabinets, checks are locked up in the safe, employees protect their passwords used to access the Company's computer systems, etc. Unfortunately it seems the thieves were prepared.
QUICK NOTE!
Do not send copies of earnest money checks disclosing buyers' bank account numbers to unauthorized persons (i.e. listing agent, seller, seller's attorney, etc.).
| |
| |
|
