Hack at nations largest title company stalls closings
pFidelity National Financial parent company of Chicago Title and more is blocking access to title and escrow services while it investigates a security breachppA hack at the nations largest title insurance company Fidelity National Financial has stopped scheduled closings leaving agents and homebuyers scrambling for solutionsppIn a report filed Nov 21 with the SEC Fidelity National Financial said it was blocking access to systems related to services we provide related to title insurance escrow and other titlerelated services mortgage transaction services and technology to the real estate and mortgage industriesppFNF based in Jacksonville Florida is the parent company of Fidelity National Title Chicago Title Commonwealth Land Title Alamo Title and National Title of New York ppThe company said it has launched an investigation hired outside cybersecurity experts and notified law enforcement authoritiesppBased on our investigation to date FNF has determined that an unauthorized third party accessed certain FNF systems and acquired certain credentials the report to the SEC said We are working diligently to address the incident and to restore normal operations as quickly and safely as possibleppBy Nov 28 it appeared that systems were coming back office by office but still not fully restored The company has not yet responded to requests for additional commentppMeanwhile buyers expecting to close on homes this week through Fidelity and its companies have been told the systems to complete their transactions wont be available until SundayppSan Francisco broker Kate Fomina owner of Crypton Realty told Real Estate News that she has clients who expected to close Wednesday I got a call from the escrow company Chicago Title she said They told me there was a security breach and because of that they have to shut down the whole system all over the country she said The closing system is down at least until Sunday They cant send any wires cant release for recordingppIn the case of her buyers ready to close The bank already funded the loan Fomina said So my buyers are paying a mortgage already on a home they dont ownppShe spoke with the escrow officer who assured her they would find a way to make it right for her clients She told me that if we cannot close for another week escrow will assume all the mortgage payments that my buyers have to make Fomina said To avoid that they might try to do it old school Fomina said I just dont know well have to figure that outppFominas buyers arent planning to move in immediately so thankfully that is working out But she said other buyers planning to close Thanksgiving week are in worse shape What about people doing a 1031 exchange or who need money in order to buy something Fomina asked Dates really matterppGet the latest real estate news delivered to your inboxp