Wiring Money for Your Closing in North Texas: How to Protect Your Down Payment from Wire Fraud

Buying a home is one of the largest financial transactions most families will ever make — and here in Collin, Denton, and Grayson counties, closings on new builds in communities like Star Trail, Trinity Falls, and Windsong Ranch often mean six-figure wires moving in a single afternoon. As you get closer to closing, your title company will send instructions for the funds you need to bring — usually by wire transfer.

Wire transfers are fast and reliable, but that speed is exactly why they’ve become a favorite target for cybercriminals. Once a wire is sent, it typically cannot be reversed. Understanding how the process works — and how scammers try to exploit it — is one of the most important things you can do before closing day.

Why Buyers Wire Money at Closing

Depending on the amount due, your title company will usually require a wire instead of a personal check for:

• Down payment
• Closing costs
• Prepaid taxes and insurance
• Escrow funding
• Any additional funds required after final loan approval

Unlike a check, a wire provides immediately available funds — which is what lets your title company close on schedule.

How Real Estate Wire Fraud Actually Happens

Real estate transactions have become a favorite target for sophisticated scammers, because everyone involved knows a large wire is coming and roughly when. A typical scheme unfolds like this:

1. You’re approaching your closing date.
2. A scammer — often after compromising an email account somewhere in the transaction chain — knows you’re expecting wire instructions.
3. You receive what looks like a legitimate email from your Realtor®, lender, attorney, or title company.
4. The email contains fraudulent account details.
5. You wire your down payment.
6. The money goes straight to the criminal’s account — often overseas within hours.

Many victims don’t find out until the title company reports the funds never arrived. The FTC warns consumers to independently verify any wiring instructions before sending money, precisely because recovery after the fact is so difficult.

Red Flags to Watch For

Stop and pick up the phone if an email:

• Changes previously provided wire instructions
• Creates urgency or pressure (“wire today or we’ll miss closing”)
• Requests secrecy or asks you not to call to confirm
• Comes from a slightly altered email address
• Contains odd grammar or formatting
• Asks you to wire funds to an individual rather than the title company
• Arrives unexpectedly, without prior discussion

A common trick is a domain that looks nearly identical to the real one — for example, swapping the “m” in a company name for “rn,” which renders almost indistinguishably in most fonts. Look closely at every character before trusting an email address.

The Golden Rule: Verify by Phone, Every Time

Never rely solely on emailed wiring instructions — even if you’ve received instructions from the same company before.

Before sending a dollar:

• Call the title company using a number you already know is legitimate — from a prior closing document, their website, or a number I’ve provided you directly.
• Never use a phone number listed in the email containing the wire instructions.
• Ask the escrow officer to verbally confirm the bank name, routing number, account number, account name, and exact dollar amount.

That single phone call can protect your entire down payment.

Six Habits That Protect You

1. Ask early. Find out at the start of your transaction how your title company normally delivers wire instructions.

2. Verify every single time. Even repeat instructions get a fresh phone call.

3. Be suspicious of last-minute changes. Legitimate title companies rarely change wiring instructions right before closing.

4. Check the domain, not just the name. Read the sender’s email address character by character.

5. Wire early in the day. If something goes wrong, banks have a better shot at recalling a wire reported quickly during business hours.

6. Confirm receipt. After your bank sends the wire, call the title company to confirm it arrived.

If You Think You’ve Wired Money to a Scammer

Time matters more than anything else. Immediately:

1. Contact your bank’s wire department and request a wire recall.
2. Notify your title company right away.
3. Contact your local FBI field office or file a report with the FBI’s Internet Crime Complaint Center (IC3).
4. Report the fraud to the FTC.

Acting within the first few hours gives you the best — though not guaranteed — chance of recovery.

My Commitment to North Texas Buyers

As your mortgage lender, my job isn’t just getting your loan approved — it’s helping protect one of the largest financial investments you’ll make. Throughout your transaction, I work directly with your Realtor® and title company so you know exactly what to expect at each step, including how and when wire instructions will be delivered.

If you ever receive wiring instructions that feel off in any way, stop and call me or your title company before sending a cent.

Final Thoughts

Wire fraud has grown more sophisticated, but it’s also highly preventable. Remember three rules:

• Never trust emailed wire instructions alone.
• Always verify by phone using a number you already trust.
• When anything feels off, stop and ask questions.

Buying a home should be exciting, not stressful. A few extra minutes verifying your wire instructions can protect your down payment and keep your closing on track.

Reference: Federal Trade Commission, What To Know Before You Wire Money.