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loanDepot Discloses Cyber Incident Impacted 16.6 Million Customers

Jan 22, 2024
A global network of digital miscreants has reportedly created a list of 50,000 executives at banks and mortgage companies to target for online scams
News Director

Mortgage lender resumes operations amidst growing cybersecurity challenges in the industry.

An investigation by mortgage lender loanDepot discovered 16.6 million customers were impacted by a cyber incident earlier this month. 

The company says it has made significant progress in restoring its loan origination and servicing systems, including its MyloanDepot and Servicing customer portals.

loanDepot, which originated approximately $13.25 billion in mortgage loans over the last 12 months, according to Modex, is still undergoing an investigation with the assistance of cybersecurity experts. However, in a press release Monday, the company said it determined that an unauthorized third party successfully gained access to sensitive personal information within its systems. In response, the company is offering credit monitoring and identity protection services to affected customers.

"Unfortunately, we live in a world where these types of attacks are increasingly frequent and sophisticated, and our industry has not been spared. We sincerely regret any impact to our customers,” loanDepot CEO Frank Martell said. “The entire loanDepot team has worked tirelessly throughout this incident to support our customers, our partners and each other. I am pleased by our progress in quickly bringing our systems back online and restoring normal business operations.”

Several notable mortgage industry companies have faced cyberattacks in recent months, underscoring the growing cybersecurity challenges in the financial sector. The cyberattack of loanDepot follows recent breaches at First American, Fidelity National Financial, and Mr. Cooper Group.

About the author
Christine Stuart is the news director at NMP.
Published
Jan 22, 2024
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