January 11, 2024
In This Issue:
- FinCEN Issues Analysis of Identity-Related Suspicious Activity
- Cybersecurity Advisory from ALTA's Information Security Work Group
- ICYMI: New Laws In Effect as of January 1
- Opinion: Missing the Forest for the Fees. Title and Settlement Fees Aren’t a Barrier to Homeownership
- Texas Realtors Video Resource: Deadlines for Paying Earnest Money and Option Fee Under Purchase Contracts
FinCEN Issues Analysis of Identity-Related Suspicious Activity
U.S. Treasury | Jan. 9, 2024
The Financial Crimes Enforcement Network (FinCEN) issued a Financial Trend Analysis (FTA) on information linked to identity-related suspicious activity in Bank Secrecy Act (BSA) reports filed in calendar year 2021. FinCEN’s analysis found that approximately 1.6 million reports (42% of the reports filed that year) related to identity—indicating $212 billion in suspicious activity.
“This report reveals the existence of significant identity-related exploitations through a large variety of schemes,” said FinCEN Director Andrea Gacki. “Robust customer identity processes are foundational to the security of the U.S. financial system, and critical to the effectiveness of financial institutions’ programs to combat money laundering and counter the financing of terrorism. Financial institutions are encouraged to work across their internal departments to address these schemes.”
The report, which is part of what FinCEN has previously referred to as its Identity Project, explores how bad actors exploit identity-related processes involved in processing transactions as well as opening and accessing accounts. FinCEN identified over 14 typologies commonly indicated in identity-related BSA reports. The most frequently reported were fraud, false records, identity theft, third-party money laundering, and circumvention of verification standards. These top five typologies accounted for 88% of identity-related BSA reports and 74% of the total identity-related suspicious activity amount reported during calendar year 2021.
Read more »
Cybersecurity Advisory from ALTA's Information Security Work Group
ALTA | Jan. 8, 2024
As we all continue to monitor the significant cybersecurity issues affecting our industry, we wanted to share how unified ALTA's Information Security Work Group is in identifying trends and supplying valuable information to ALTA members and the broader industry.
Considering the most recent incidents, the work group urges everyone to use extreme caution when opening emails containing links, attachments or requests for personal information, such as security credentials or authentication codes. Given the nature of the cybersecurity attacks facing our industry, even emails from known sources including colleagues, clients, customers and consumers could potentially be compromised. Phone calls and text messages may also be suspect, so slow down and take every opportunity to verify the source.
Here are some things you CAN do »
ICYMI: New Laws In Effect as of January 1
Remote Ink Notarization and new HOA transparency rules among the changes that could impact you or your business
Texas Legislative Reference Library | Dec. 29, 2023
A
total of 31 bills passed by the 88th Texas Legislature went into effect January 1, 2024.
Most new laws come from the regular legislative session that ended on May 29, 2023. Governor Greg Abbott also called four special sessions to consider additional legislation, some of which will become law on January 1. We may see more bills passed if the lawmakers gather again before the 89th Legislature convenes in 2025.
Over 700 bills passed by the current legislature already went into effect on September 1, 2023. A handful of bills are scheduled to become law at a later date.
Learn More »
TLTA Editor's Note: Several bills on the list above may be relevant to you and your business. For example, the Remote Ink Notary bill (SB 1780) that TLTA worked to pass this year changes the timeline for returning documents to a notary. Also on this list are new requirements meant to increase transparency of HOA operations (HB 614), and a bill related to Landman operations that we helped amend. If you have questions about any of the bills on this list, please send your questions to Aaron Day via [email protected] or 512.810.8800.
Opinion: Missing the Forest for the Fees. Title and Settlement Fees Aren’t a Barrier to Homeownership.
First American via HousingWire | Dec. 14, 2023
In 2023, Fannie Mae and Freddie Mac announced plans to make it easier to buy a home and close the racial homeownership gap in the United States.
Homeownership is one of the most important decisions in a person’s life and is a primary vehicle for wealth creation for the majority of households. In fact, our most recent analysis of the benefits of wealth creation from homeownership shows that for families in the bottom 20% of the income distribution, the median net worth of home-owning households was 43 times greater than similar renting families and housing equity is the largest source of wealth for all but the highest income families in the United States.
Yet, affordability now sits at historic lows and the prospect of homeownership seems more out of reach for low- and moderate-income families than ever before. That’s why the path toward equal access to economic opportunity includes ensuring access to homeownership for all.
Part of the equitable housing plans’ approach to achieving more equity includes reducing the costs and fees associated with buying a home that are often cited as a homeownership barrier for low- and moderate-income and non-white households. Specifically, title and settlement fees have been characterized as a high-burden and regressive (costing proportionally more for low- and moderate-income borrowers) cost to borrowers. In fact, neither is true.
Read More »
Texas Realtors Video Resource: Deadlines for Paying Earnest Money and Option Fee Under Purchase Contracts
Texas Realtors | October 2023
The following video from Texas Realtors discusses how to count days in determining when to pay the Earnest Money and Option Fee in the purchase contracts.
Watch the Video »