Wire Fraud Prevention Starts with Document Redaction

Wire fraud has become the most expensive crime in real estate. The FBI reports hundreds of millions in losses annually, with real estate transactions as a primary target.

Here's why document redaction is your first line of defense — and your clients' best protection.

How Wire Fraud Works

The attack is devastatingly simple:

1. Criminals monitor email accounts (often through phishing)
2. They learn the details of an upcoming closing
3. At the last moment, they send fake wire instructions that appear legitimate
4. The buyer wires funds to the criminal's account
5. The money is gone within hours

The more transaction details criminals can gather, the more convincing their fraud becomes.

The Data That Enables Fraud

Every document you share teaches criminals more about the transaction:

• Bank statements reveal which bank to impersonate
• Account numbers make fake instructions look legitimate
• Transaction timelines tell them when to strike
• Contact details enable targeted phishing
• Purchase prices tell them exactly how much to request

A fraudster with access to unredacted transaction documents can craft an email that's virtually indistinguishable from the real thing.

Reducing Your Attack Surface

You can't prevent all wire fraud, but you can make your transactions harder targets.

Redact unnecessary details from every document before sharing. The listing agent doesn't need your buyer's full account number — so don't send it.

Verify wire instructions by phone using a number you find independently, not one from an email.

Use secure document sharing instead of email attachments when possible.

Train clients to expect verification calls and to be suspicious of last-minute changes.

Your Professional Responsibility

Redaction isn't just a privacy practice. It's risk management.

The 30 seconds it takes to redact a document could save your client's life savings — and your professional reputation.