January 05, 2026
Wire Transfer Fraud in Texas: How Scams Happen, Who May Be Liable, and How an Attorney Can Help Recover Funds
You are about to wire $100,000 to a vendor you have paid before. Then this email arrives in the same thread you have been using for weeks:
“Quick update, our bank is migrating accounts. Please use the attached revised wiring instructions for today’s payment so we can release shipment. I’m in meetings, email is best.”
Everything looks right, except the account and routing numbers. Is it a routine update or a wire scam?
If the wire goes out to the wrong account, recovery often depends on hours, not days. A TX wire fraud attorney can help preserve evidence, push bank recall and freeze steps, and evaluate liability. Here is how these scams typically happen, what warning signs show up, and what steps can protect recovery options.
How Wire Transfer Scams Usually Happen
Most wire fraud is not “high-tech” in the way people imagine. It is usually a trust exploit. The scammer inserts themselves into a real transaction and changes the payment instructions at the worst possible moment.
Common patterns include:
- Business email compromise (BEC): a criminal gains access to (or convincingly impersonates) a real email account and sends “updated” wire instructions. FinCEN has described these email compromise schemes as a long-running method used to induce victims to send wires to accounts controlled by criminals.
- Vendor and invoice fraud: a vendor’s email is spoofed, and accounts payable receives a “new bank account” notice right before payment is due.
- Real estate and settlement fraud: the buyer or business owner receives “final wiring instructions” that look like they came from a title company, attorney, or lender.
- Payroll diversion: an employee’s direct deposit details are changed using a hacked HR inbox or a fake “benefits update” request.
Always treat wiring instructions as unsafe until verified through a known, previously used phone number.
Red Flags That Should Stop a Wire Immediately
Wire scams tend to share the same pressure tactics and timing tricks. Watch for these warning signs:
- A “change in wiring instructions” that arrives by email close to a deadline
- A sender pushing urgency, secrecy, or “do not call” instructions
- Slightly altered domains, reply-to addresses, or spelling in names
- Requests to send funds to a personal account, a new bank, or a new beneficiary name
- A refusal to confirm instructions using a second method (phone call to a known number)
These are not guarantees of fraud, but they are enough to pause and verify before funds are released.
Who May Be Liable Under Texas Law and Banking Rules
Liability depends on how the payment order was authorized, what security procedures applied, and whether the bank followed them. In Texas, wire transfers are governed in large part by Chapter 4A of the Texas Business and Commerce Code.
One key dispute is whether the bank accepted a payment order that was unauthorized and, if so, whether the bank used a commercially reasonable security procedure and complied with it. Texas Business and Commerce Code § 4A.202 addresses when a payment order can be treated as effective even if it was not authorized, including situations involving agreed security procedures. Another important provision is § 4A.204, which covers refund obligations and the customer’s duty to report issues within required time frames.
In real disputes, the bank may claim the payment order was effective because it cleared the agreed security procedure or because the customer’s controls broke down. The customer may argue the order was unauthorized, the security procedure was not commercially reasonable, or the bank failed to apply it correctly. Either way, the outcome typically depends on documentary proof: the wire record, authentication logs, account agreement terms, and the communications that triggered the transfer.
How a Fraud Attorney in Texas Can Help Recover Funds and Protect Your Business
Wire fraud recovery is not a single phone call. It is a coordinated effort across banks, records, and legal remedies. Business attorneys in McAllen can help by:
- Building a bank-focused record: identifying the governing account terms, the security procedure, and whether the bank complied with Texas UCC 4A requirements.
- Pursuing rapid court relief when appropriate: seeking temporary restraining orders or similar measures aimed at freezing funds in identifiable recipient accounts before they disappear further.
- Evaluating claims against non-bank parties: recipients, insiders, vendors, or entities that benefited from the transfer.
- Handling parallel business disputes: when the fraud triggers contract conflicts, vendor disputes, or allegations between business partners.
Fast action is often the difference between partial recovery and a cold trail. Villeda Law Group can help businesses evaluate Texas UCC 4A issues, pursue rapid fund-freeze options when available, and position the case for recovery or defense with clean documentation; call 956-631-9100 and contact us today.