Another Scam

Here’s the latest scam to target real estate practitioners and their clients.

  • Lender forwarded to Law Firm a request for a title search and for representation of Buyer at closing.
  • Two days later, Buyer received a call from someone purporting to be from Law Firm.
  • Caller had  the address of the property, Realtor’s name, and other pertinent information.
  • Caller told Buyer that Law Firm required a prepayment of $500.00 to commence work.
  • Buyer gave Caller a credit card number and authorized a charge of $500.

It was a fraud.  Someone’s email had been hacked – either Law Firm’s, Lender’s,  Buyer’s or Realtor’s.

Law Firm now includes in its engagement letter language indicating that it WILL NOT ask for credit card info over the phone.

Remember Sergeant Phil:

Image result for sergeant phil esterhaus

 

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One thought on “Another Scam

  1. Thanks for Sharing, Mike
    Unfortunately every day brings a new twist to fraud in a real estate transaction. We see it all over the country. The scary part is how well the Bad Guys have gotten to know our industry and how it works.
    Just another reason to use an engagement letter.

    Like

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