Update on Bank Failures, Advocacy Opportunity & More Fraud Worries
Dear Members,
A few things warranted an out of sequence blog posting. I didn't want to delay getting this information out to you!
A quick update on bank failures. As of the writing of this blog, two banks have been placed under FDIC receivership: Silicon Valley Bank (branches in California and Massachusetts) and Signature Bank (branches in NY, Connecticut, North Carolina, Nevada and California). IF YOUR COMMITMENT CALLS FOR A PAYOFF OF EXISTING MORTGAGES HELD BY EITHER OF THESE ENTITIES, PLEASE CONFIRM THOSE PAYOFF WITH THE NEW ENTITIES REFERRED TO IN THE ATTACHED FDIC DOCUMENTS. Silicon Valley (https://www.thefund.com/information-center/pdf/fdic-silicon-valley-bank.pdf) or Signature Bank (https://www.thefund.com/information-center/pdf/fdic-signature-bank.pdf) and if your transaction contemplates a NEW mortgagee policy involving these lenders, CONTACT UNDERWRITING FOR GUIDANCE.
Easy Advocacy Opportunity. Here is an easy way for you to help me in my advocacy efforts on your behalf. The American Land Title Association has created a network of people in the title insurance called (rather obviously) Title Advocacy Network. It is free (you do not need to be a full member of ALTA to join) and very easy to use and understand. You receive updates on issues at both the state and federal level that directly impact the title industry. You will not be overwhelmed with emails from TAN so that is of no concern. TAN alerts give you an opportunity to quickly and easily contact your legislators about important issues. It takes two minutes to join: alta.org/tan. And if you want to view a promotional video, here is a link: https://youtu.be/RJaM94ZRTnw
More fraud worries. You might be interested in this recent alert on mail theft-related check fraud schemes. The Financial Crimes Enforcement Network (FinCEN) is issuing an alert to financial institutions on the nationwide surge in check fraud schemes targeting the U.S. Mail. Fraud, including check fraud, is the largest source of illicit proceeds in the United States and is one of the anti-money laundering/countering the financing of terrorism (AML/CFT) National Priorities. In coordination with the United States Postal Inspection Service (USPIS), FinCEN has identified red flags to help financial institutions detect, prevent, and report suspicious activity connected to mail theft-related check fraud.
That's all! Let me know how we can help you.
Melissa Jay Murphy
Executive Vice President, Chief Legal Officer,
and General Counsel
03/17/2023