Imagine a stranger sold your home while you were away. What a nightmare that would be. Unfortunately, some people have experienced this nightmare. Title fraud happens when someone steals the homeowner’s identity using fake identification or forged documents to take away their “title” to the property to do things like sell the property or re-mortgage it.
To avoid being a title fraud victim, read on for some tips.
- Be wary about with whom you share personal information.
- Check bank and credit card statements regularly, as well as your credit report for irregularities, and report any immediately.
- Shred any documents containing personal information before disposing of it.
- Retrieve your mail regularly to avoid mail theft.
- When moving, ensure that you update your address with your contacts and service providers, and have your mail forwarded to your new address.
- Search your property online periodically to see if it is fraudulently listed.
- Get title insurance. It will cover losses from title fraud, the legal costs of restoring your right to the property title, and in the case your home was fraudulently sold, the unwitting buyer will get their money back.
Title fraud is more likely to happen when a property is vacant or paid off, or the owner is vulnerable in some way, such as being elderly or compromised.
By making proactive choices you can protect what is, for many people, their largest financial investment.
