Closinglock Secures $12 Million in Series A Funding to Revolutionize Real Estate Transactions
Closinglock, a leading provider of fraud prevention technology and fintech solutions for the real estate industry, proudly announced the successful completion of its $12 million Series A funding round in early February 2024. The round was led by Headline, with additional support from LiveOak Ventures, RWT Horizons, and GTMfund. This investment advances Closinglock’s mission to “revolutionize” the transfer of funds and information within real estate transactions.
This funding round marks a pivotal moment for Closinglock, solidifying the strength of its innovative approach and robust infrastructure designed to protect the real estate market from fraud and financial risks.
In an interview with TechCrunch, Andy White, founder and CEO of Closinglock, shared plans to allocate the newly acquired funds toward advancing technology, product development, and expanding the company’s workforce. “We’re focusing on the fintech side of the business, particularly ensuring secure and efficient money transfers in real estate transactions, eliminating the need for checks, and reducing the risk of ACH or wire transfers being misdirected,” White explained.
Real estate professionals across all sectors can greatly benefit from Closinglock’s services, as fraud affects one in every ten real estate transactions in the U.S. According to FBI data from 2022, over $446 million was lost to fraud, with more than 2,200 individuals reporting wire fraud in property transactions.
Closinglock provides essential fraud protection tools for real estate professionals, offering a secure, user-friendly platform to streamline transactions. The platform allows settlement companies to manage wire instructions, handle down payments and cash-to-close transactions, verify payment accounts, confirm identities, share documents securely, and collect eSignatures. Trusted by over 400 title companies, law firms, and major financial institutions like J.P. Morgan, Closinglock has successfully protected hundreds of thousands of deals valued at over $250 billion.
Key Features of Closinglock’s Platform Include:
- Identity Verification: Ensures secure participation by verifying identities accurately and promptly.
- Secure Payments: Facilitates cash-to-close and down payments as “Good Funds,” ensuring safety and compliance.
- Wire Instructions: Provides a secure portal for sharing and receiving wire instructions.
- Payment Verification: Real-time confirmation of loan payment accounts and routing numbers.
- eSignatures: Collects eSignatures that meet government standards, ensuring legal compliance.
- Document Exchange: Safeguards two-way communication and document sharing, preventing unauthorized access.
Closinglock integrates with popular real estate software like RamQuest, Resware, and SoftPro to deliver all-in-one solutions that save time, increase efficiency, and enhance productivity for real estate professionals.
With more than $200 billion secured across transactions in all 50 states, Closinglock continues to build a safer, more efficient environment for the real estate industry.
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