A brokerage recently notified BRR of an email scam that may have resulted in a stolen commission check.
Last week, they received an email from one of their agents asking to update their direct deposit information ahead of a closing. The email address was spoofed to completely look as thought it came from the same email address and name as usual. The brokerage went ahead and processed the change and when the agent asked why they hadn’t been paid, they realized what had happened. They are now working with their bank to stop the payment and hopefully recover the funds.
We have heard if scammers gain access to a real estate agent’s email account, they tend to wait and watch what kind of activity they have going on, learn how the person writes, and to find out who within the brokerage manages the financials or payments. Then, the scammer will send these kinds of update requests just before they see a closing is about to take place.
This broker has now put a policy in place that they will no longer accept change requests for financial information via email, and are requiring correspondence of this nature be done through their secure back office system.
Another way to confirm that any request like this is legitimate, is to call the person requesting a change on a known number (not one that may be provided in the suspicious email or text) or better yet, talk to them in person before making any changes.
Here are some additional resources on this topic and related issues for your review:
- How To Recognize and Avoid Phishing Scams from the FTC
- NAR’s Fraud, Negligence & Liability
- Wire Fraudsters Targeting Real Estate Transactions
- NAR Announces New Cyber Liability Insurance Program for Realtors®
Again, the brokerage involved asked BRR to share this with our membership to give others a heads up and to be on the lookout for suspicious emails or requests, and to remind everyone to put their own security practices in place, and always double-check things related to money or sensitive information, even if it seems like an extra step or inconvenience.
If you have a safety concern to share, call us at 208-376-0363. To receive text message alerts from BRR, including safety alerts, please opt-in to text messages here.
