What To Do If Ransomware Hits Your Business
Hit by ransomware? Here’s what to do immediately
Scammers are increasingly exploiting the complex home buying process by hacking into email communications between buyers, sellers, and real estate agents to fraudulently misdirect funds.
These sophisticated phishing schemes have resulted in significant financial losses for unsuspecting victims who are tricked into wiring away their entire savings (with amounts measured in hundreds of thousands of dollars). This form of fraud has exploded over the last decade according to the FBI, rising from less than $9 million in losses in 2015 to $446.1 million by 2022.
Once the money is transferred, the funds can be difficult—if not impossible—to recover.
The scammers target all participants in a real estate transaction, including buyers, sellers, real estate attorneys, title companies, and agents. Once the perpetrators gain access to a legitimate stakeholder’s email account, they monitor the proceeding, and time a request for a change in payment type—frequently from check to wire transfer or a change from one bank account to a secondary fraudulent domestic or international account.
Alternatively, they may enact a Man in The Middle (MITM) attack in which the scammers intercept and alter communications between the parties involved, making their fraudulent requests seem all the more legitimate.
Once the money is transferred, the funds can be difficult—if not impossible—to recover.
If you uncover a fraudulent transfer, acting quickly is crucial. First, contact your bank to request a recall of the funds and complete any necessary paperwork. Policies vary among financial institutions, so it's important to understand what support your bank offers for recovering funds.
If you are based in the US, the FBI recommends filing a complaint via www.ic3.gov, the FBI's Internet Crime Complaint Center (IC3), which can assist banks and law enforcement in their efforts to recover funds. Other countries may provide similar assistance.
Protecting yourself from wire fraud requires vigilance and proactive measures. Here are some essential steps to safeguard your financial transactions:
A comprehensive security platform like Upfort Shield can provide robust protection against wire fraud and other cyber threats with a multi-tier suite of protections:
By leveraging these tools, you can significantly reduce the risk of falling victim to wire fraud and maintain the integrity of your real estate transactions.