The Short Answer
Before sending escrow funds, obtain instructions through the established secure process and independently call the escrow office using a trusted number. Never rely on a phone number, link, or changed account detail supplied in the same unexpected message you are trying to verify.
Wire fraud can use lookalike email addresses, compromised accounts, convincing signatures, and urgent closing-day requests. A familiar name or correct transaction detail does not prove a message is genuine. Pause when instructions change and verify through a separate established channel.
General educational information from the escrow perspective, not legal or financial advice. Ask your own agent, lender, and attorney about your specific agreement and deadlines.
Already Sent a Suspicious Wire? Act Immediately
- Contact the sending bank nowAsk its fraud or wire department about an immediate recall and the steps needed to alert the receiving bank. Recovery is not guaranteed.
- Notify the real escrow officeUse a trusted number, not contact details from the suspicious message. Preserve the messages and transaction details.
- Report the incidentSubmit a report at IC3.gov and follow bank and law-enforcement guidance. Do not wait for a promised response from the suspected fraudster.
Red Flags That Deserve a Pause
New or changed bank details
A last-minute change to an account, beneficiary, or payment destination requires independent verification.
Ask: Did the real escrow office confirm through a trusted channel?
Urgency or secrecy
Pressure to bypass normal verification, avoid calling, or send money immediately is a warning sign.
Ask: Why is the established process being bypassed?
A lookalike sender
Display names and signatures can be copied. Even a genuine mailbox can be compromised.
Ask: Have you verified outside this email thread?
An unexpected portal or attachment
Do not enter credentials through an unexpected link or use an attachment as the sole source of instructions.
Ask: Can you access the known portal through your established route?
Two Closing-Day Messages to Verify Independently
These are hypothetical process examples, not client case studies or predictions of an outcome.
“Use this new account before the cutoff”
A message supplies changed instructions and a new phone number. The buyer stops and calls the previously verified escrow contact instead of using the message’s number.
A convincing reply in a familiar thread
The email contains genuine transaction details but asks for a different beneficiary. The buyer independently confirms the instructions rather than treating the thread as proof.
What Your Escrow Officer Can and Cannot Do
Confirm the file status
Identify documents, funds, and administrative requirements in the escrow file.
Follow valid instructions
Administer authorized funds and documents while remaining a neutral stakeholder.
Respect professional roles
Leave legal rights, loan decisions, technical inspections, and disputed claims with the appropriate advisers.
Guaranty Escrow’s published client warning states that wire instructions are sent through its secure portal and require users to log in. Instructions outside that established process should be treated as suspicious, even if they appear to come from the company. Use the official contact page to reach the office; never post bank details, account numbers, or portal credentials in a general inquiry form.
Related reading: real estate escrow services | deposit release when escrow is canceled | California escrow problems.
Your Next-Step Checklist
- Establish a trusted contact earlyConfirm your escrow officer’s office number through an independently verified source and keep it for the transaction.
- Use the known secure processAccess the established portal directly, not through an unexpected message link.
- Call before authorizing the wireVerify the recipient and bank instructions with the real office using the trusted number. If details conflict, stop.
- Confirm receipt separatelyAfter the bank processes the transfer, confirm receipt with the assigned escrow officer through the established channel. Keep the bank confirmation securely.
Common Questions
Can a real escrow email address be compromised?
Yes. A familiar sender or existing thread is not enough to establish authenticity. Verify payment instructions independently.
Should I call the number in the new wiring email?
Not as your verification source. Use a previously established or independently verified office number.
Are wiring instructions safe because the signature looks correct?
No. Logos, names, and signatures can be copied, and accounts can be compromised. Follow the established secure process.
Can the bank always reverse a fraudulent wire?
No. Contact the sending bank immediately to request action, but neither recall nor recovery is guaranteed.
Where do I report suspected wire fraud?
Contact the bank and real escrow office immediately, and report to the FBI’s Internet Crime Complaint Center at IC3.gov. Follow their instructions for preserving evidence.
Keep the Escrow Process Clear
For an existing transaction, contact your assigned escrow officer for file status and administrative requirements. Questions about legal rights belong with your own attorney; loan questions belong with your lender.
Planning a property transaction? Guaranty Escrow can discuss real estate escrow services and help organize the escrow side of your closing.
310-372-3700 | Explore all California escrow problems guides
Sources: FBI IC3: Business email compromise; California DRE: Preventing real estate fraud.
General educational information, not legal, tax, or financial advice. No particular cancellation, refund, recovery, or closing outcome is guaranteed.