By Lisa A. Tyler
National Escrow Administrator

The articles contained in this edition make us miss the days when the biggest thing the real estate industry was combating was mortgage fraud.

The April 2019 issue of this newsletter featured an article that discussed how experts predicted ransomware attempts would increase in the coming months. Unfortunately, it seems to be true. I recently attended a conference where the CEO of a lending company shared a story about one of his peers: The CEO of another lending company was victimized by this crime. In the end, the CEO paid the equivalent of $1.5 million in bitcoin to the hackers, in order to restore his computer systems. Lenders must be a target, because that same week another lender reported they were successfully attacked and were held ransom. Read "RANSOMWARE" for more details about how the crime affected one city.

Buyers all over the country are the targets of hackers attempting to steal their life savings. They strike innocent, hard–working homebuyers when they are most vulnerable: Engaged in the process of buying a home. The process of buying a home is described by buyers as, "crazy challenging." There are a lot of "i's" to be dotted and "t's" to be crossed, which is why hackers are successful in their attempts. This article will demonstrate steps the Fidelity National Title Group takes to prevent this; but the thieves are still winning. Read "HOW to lose your life savings" for all the details.

Wire transfer fraud is the fastest growing real estate cybercrime in the United States. Attempts by fraudsters to divert wire transfers have not weakened. Instead, the hackers have broadened their horizons. Although homebuyers are the most common target for this fraud, anyone involved in wiring money during the closing process are vulnerable. Recently, the fraudsters have figured out how to infiltrate documents sent via eFax^® systems and alter payoff demands.

Stephanie Cannon, Closing Services Manager for Title Underwriters Agency, knows all too well the schemes and scams used to succeed at this type of fraud. She tirelessly reminds her staff to be alert and to look for any discrepancies to avoid falling victim. Her efforts have paid off. Read "CLEVER wire fraud schemes" for more details.

Nationally, title insurance companies belong to the American Land Title Association (ALTA). ALTA works throughout the year on behalf of the industry. For the last several years, the ALTA has put together some terrific resources for home buyers through their Homebuyer Outreach Program (HOP). They have put together informative materials which can be shared with consumers to describe what title insurance is, since many consumers do not truly understand the value of an owner's title insurance policy. Read more in the article entitled "AMERICAN land title association."