How the scam works
A fraudster gets into an email account belonging to an agent, lender or title office, or simply watches for closing activity. They then send a message that looks like it comes from your title company with new wiring instructions. The logo, signature and tone look right. The account number belongs to the criminal.
Once a wire leaves your bank, recovering it is difficult. Speed matters, which is exactly what the scammer counts on.
Red flags in the message
Be suspicious of any message that says wiring instructions have changed at the last minute, urges you to act immediately, or asks you to keep the request quiet. Look at the sender address character by character. Lookalike domains swap letters or add a word.
A message that arrives as a reply in an old thread can still be fake if the account was compromised. The thread history is not proof.
The call-back routine
Before sending any money, phone the title company using a number you found on its official site or on an early document, not one in the email. Read the account details aloud and confirm them with a person. Do this even if the instructions arrived in a secure portal.
Ask for the instructions as early as possible, so you are not rushing on the final day. Send a small test amount only if the title company agrees to it.
Protecting sellers and borrowers
Sellers who provide wire details for their proceeds are also targeted. Hand over payout information only through a verified channel, ideally by phone or in person at signing. Never send account details by plain email.
Use unique passwords, turn on two-step sign-in for your email, and avoid using public Wi-Fi to review closing messages.
What a signing agent does and does not do
A signing agent normally does not collect or hold closing funds. If someone claiming to be an agent asks you to send money, treat it as a warning sign. Funds go to the title or settlement company through instructions you have verified directly.
If you think you have been defrauded, call your bank immediately, then the title company and law enforcement. Quick action offers the best chance of a recall.
A short plan you can follow
Write down the title company's phone number from its official website on day one. Tell your agent and lender that you will only accept wire instructions by phone confirmation. Ask for the instructions at least a few days before closing so you are not under time pressure.
On wire day, call, read back the last digits of the account, wait for the bank to confirm the beneficiary name, and keep your wire receipt.
Educate everyone on your side of the deal. Your real estate agent, family members helping with funds, and any attorney should know the verification rule. Fraudsters sometimes target the weakest link, such as a relative asked to forward money. Agree in advance that nobody sends funds without the same phone confirmation, and that surprises are treated as a stop sign.
Common questions
Can the notary confirm wire instructions for me?
No. Notaries do not verify account details. Call the title company on a number you trust.
Is a cashier's check safer than a wire?
It avoids some wire risks, but fake cashier's checks exist too. Follow the title company's instructions and verify with your bank when needed.
What should I do if I already sent the money?
Contact your bank's fraud department right away and ask for a recall, then notify the title company and report it to law enforcement.
This guide is general information, not legal advice. Fees and procedures change; check with the office involved or an attorney for your situation.