How to Prevent Mortgage Payoff Fraud

Mortgage payoff fraud is a growing problem in the US housing market. It occurs when someone attempts to use false or stolen information to make a payment on a mortgage loan. This type of fraud can result in a borrower losing their home or having their loan balance increase significantly.

Fortunately, there are steps you can take to protect yourself from mortgage payoff fraud.

The first step is to verify the identity of the person receiving the funds. CertifID is a secure online platform that helps mortgage lenders, servicers, and consumers verify the identity of the person they are sending funds to. It uses multi-factor authentication to confirm the identity of the recipient and make sure the funds are going to the right person.

Another way to protect yourself is to be aware of the common warning signs of mortgage payoff fraud. These include changes in the loan amount, payment amounts, or contact information without prior notification. It’s also important to be aware of any suspicious emails or phone calls requesting account or personal information.

Finally, it’s important to keep your financial information secure. Make sure you use strong passwords for online accounts and never share them with anyone. Be sure to update your passwords regularly and never use the same password for multiple accounts.

Mortgage payoff fraud can have serious consequences for homeowners, so it’s important to take steps to protect yourself, and that is why we are recording this video that explains how to prevent mortgage payoff fraud.