Seven out of 10 mortgage companies allow information-sharing practices that put their clients’ personal and financial data at grave risk, the Washington Post’s Jill Chodorov reported, citing a recent study conducted by cyber security consulting firm HALOCK Security Labs.
Some real estate brokerages also lack safeguards to protect client data. According to Terry Kurzynksi, founder and senior partner of HALOCK, “the entire [real estate industry] ecosystem is bad.”
He suggested agents and mortgage officials share confidential information through what is known in the cybersecurity industry as a “secured transfer portal.”
“Lenders and agents can still use email as a way to communicate with their clients. The client just clicks the link and uploads tax returns and other documents in an encrypted session,” Kurzynski told the Post. “It is that easy.”
Buyers should also press their lender and broker for information on how their data is being protected, Chodorov wrote.