A look at Biden’s first week in office

This episode reviews last week’s inauguration of President Joe Biden, examining which housing issues the new administration has already taken action on.

Biden’s executive order will extend foreclosure moratorium

President Biden revealed his plan to sign 17 executive orders his first day in office, including am extension of the eviction and foreclosure moratorium to at least March 31.

If consumers aren’t holding lenders back, then who or what is?

The challenge for lenders and investors is understanding how to meet borrowers where they are without layering on risk or getting bogged down in third-party intermediation.

HomeBridge’s Brian White on diversity at a practical level

HomeBridge's Brian “Woody” White discusses ways to increase diversity within the housing finance industry.

ClosingFintech

Brace yourself for the riskiest week in wire fraud

Warning: The threat of wire fraud is surging

wire fraud HW+

As if the threat of wire fraud wasn’t already high enough this year, several factors are aligning to worsen the situation. The fact that mortgage demand is at a record high, much of the country’s workforce is still working remotely and the Fourth of July falls on a Saturday this year have combined to form a perfect storm for wire fraud. 

To put the gravity of the situation into perspective, Thomas Cronkright, cofounder and CEO of CertifID, says this could be the riskiest week for wire fraud in more than five years.

This perfect storm revolves around the fact that the fourth of July occurs on a Saturday, so the national holiday is being observed on Friday, July 3. That means the vast majority of people involved in the closing process — banks, title companies and law firms — are going to be out of the office.

The last time July 4 fell on a Saturday was in 2015. The observation of the holiday on Friday presents a problem because the Federal Reserve Bank remains open. According to the Board of Governors for the Federal Reserve’s website, “For holidays falling on Saturday, Federal Reserve Banks and Branches will be open the preceding Friday; however, the Board of Governors will be closed. For holidays falling on Sunday, all Federal Reserve offices will be closed the following Monday.”

This results in three critical situations that when combined, turn into the one of the riskiest times for wire fraud: 

  1. Borrowers and sellers are able to close on their home and wire money
  2. Key stakeholders in the real estate closing process are off work 
  3. The Federal Reserve is open to move funds 
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