A Southern California couple is sharing a warning to other potential homebuyers after they said they fell victim to a mortgage fraud scheme that nearly cost them hundreds of thousands of dollars.
A Southern California couple is sharing a warning to other potential homebuyers after they said they fell victim to a mortgage fraud scheme that nearly cost them hundreds of thousands of dollars. The couple, who asked ABC News to identify them only by their first names, Lynette and Scott, said the incident occurred when they were going to submit a down payment on a home.
They said they had been corresponding via email with their mortgage broker, when they received what looked like a message from the broker that contained a misspelled word in the sender's email address. "It was an exact duplicate of any correspondence that we've had with the company before," Scott recalled, speaking with ABC News' Aaron Katersky. "It was identical, but for one keystroke." Instead of "escrow.com," Lynette said the email came from an address that used two V's in place of a W.Lynette and Scott, who asked ABC News not to use their last names, said they received an email with a misspelled word that led them to become victims of a mortgage fraud. After they sent the money, Scott and Lynette followed up with their broker, who told them they hadn't received anything.Scott added, "We consider ourselves technologically literate, but we knew at that moment that we were over our head. We literally stopped and we prayed, and then we called the police." Orange County has one of Southern California's only cyber crimes investigative units. Orange County Sheriff Don Barnes told ABC News speed is essential in cyber fraud cases like Scott and Lynette's case. "The quicker you recognize it and then take immediate action is key. The likelihood of recovering that money is almost zero after about 72 hours," Barnes said. According to the Federal Housing Finance Agency, there are a variety of cyber fraud crimes involving home financing, including business email compromise, or BEC, the type Lynette and Scott fell victim to, where criminals spoof or use compromised email accounts of financial institutions, businesses, nonprofits, non-governmental organizations, or governmental entities to get victims to send money or share sensitive information. Investigators with the Orange County Sheriff's Office said they were able to trace where Scott and Lynette's money went, and the couple said after several months, they ultimately recovered about 90% of their funds. "There was about 10% of the money that apparently had gotten translated into Bitcoin, and that was gone-gone. But close to 90% of our funds came back to us. It was like a dream," said Scott. The National Association of Mortgage Brokers recommends customers take precautions to avoid potential frauds by calling sources and double-checking any information or requests. "Before you send anything, pick up the phone. Call your mortgage broker, call your realtor, trust and verify," National Association of Mortgage Brokers President Kimber White told ABC News.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Soaring gas prices pump up Southern California inflationCost of living’s surge is largely linked to the Iranian conflict ballooning pump prices that drivers pay.
Read more »
Rain — possibly heavy — expected this weekend in Southern CaliforniaThe second of two storm systems could bring steady rain, heavy downpours, lightning and even a small tornado or waterspout, forecasters said.
Read more »
Space fans cheer Artemis II splashdown at Southern California watch partiesLines formed outside the San Diego Air and Space Museum ahead of the Orion capsule splashdown. 'I hope it goes well, I'm so excited. I have been thinking about them coming back to Earth all day,' one woman said.
Read more »
Why April is the ideal time for Southern California rosesThere is one group of roses that will bloom longer and with fewer headaches than the rest.
Read more »
The winners of poetry’s Tufts awards are coming to Southern CaliforniaPlus, Claremont is getting a new bookstore, TBR Books, and April 11 is the grand opening.
Read more »
Park inequality in Southern California creates health risks, especially during the heatPark-wise, the region has long been a land of haves and have nots. But a new study from researchers at UC Irvine and Chapman University shows that not all parks are created equal.
Read more »