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Mr. Cooper Group, a major U.S. mortgage lender, has fallen victim to a substantial cyberattack. This incident forced the company to temporarily shut down essential systems, leaving customers unable to make their mortgage and loan payments.
As the news of a cyberattack targeting the mortgage giant Mr. Cooper began to circulate, many customers were initially unaware of its effects until they attempted to access the platform for mortgage payments. Others, who had automated payments set up, may not have realized the issue at all. Some customers might not even have been aware that Mr. Cooper was their mortgage servicer.
Immediate Response from Mr. Cooper
Mr. Cooper’s website publicly disclosed the breach on October 31, assuring customers that immediate actions had been taken to safeguard their data. This incident forced the company to temporarily shut down essential systems, leaving customers unable to make their mortgage and loan payments.
As on November 6, 2023 we have seen this message on their official website.
Notice of Cyber Security Incident
As of Nov. 3 at 5pmOn October 31, Mr. Cooper became the target of a cyber security incident and took immediate steps to lock down our systems in order to keep your data safe. Our systems remain locked down, and we are working on a resolution as quickly as possible.
Curiously, this cybersecurity breach occurred shortly after the mortgage servicing company reported third-quarter net income of $275 million on October 25. When factoring in certain adjustments, the company reported a pre-tax operating income of $249 million. Although Mr. Cooper did not explicitly confirm it was a ransomware attack, the decision to shut down systems indicated that such a possibility existed. The company is currently investigating potential data compromises.
The company has begun notifying customers about the incident, suggesting potential data theft. Concerns regarding late payment penalties arose, but Mr. Cooper reassured its customers that they would not face any fees, penalties, or negative credit reporting due to payment delays during the system downtime.
As the services remain offline, Mr. Cooper has advised its customers to exercise caution when encountering communications claiming to be from Mr. Cooper employees. Customers were assured that payments processed through the ACH system would be completed once the systems were back online, requiring no immediate action on their part.
With over four million customers and a loan portfolio worth $937 billion, this cybersecurity breach at the mortgage lending giant has raised significant concerns among its clientele.
About Mr. Cooper
If you are not aware of Mr. Cooper, it is the nation’s largest non-bank servicer of residential mortgages, and earlier this year, the company acquired Michigan-based Home Point Capital for $324 million.
FAQs Regarding the Cyberattack on Mr. Cooper
Q: Was there a data breach, and how do I know if my data was affected?
A: We are in the process of conducting a thorough investigation to ascertain if any customer data was compromised. If any customers are found to be affected, they will be promptly notified and offered identity protection services.
Q: What measures is Mr. Cooper taking to ensure my protection?
A: We hold our customers’ data privacy in high regard and consider it a priority. Upon detecting the incident, we immediately activated response protocols. These include implementing containment measures to safeguard both our systems and customer data. We also prudently shut down specific systems as a precautionary step.
Q: When can we expect Mr. Cooper’s operations to return to normal?
A: We understand the significance of regaining access to our systems, and we are actively engaged in resolving the issue and restoring our systems to normalcy at the earliest. Please be assured that you will not incur any fees, penalties, or negative credit reporting due to any late payments while we work diligently to rectify the situation.
For more information please do visit official site.
