N.Y. sues banks over mortgage database: reports
CHICAGO (MarketWatch) — The state of New York is suing Bank of America Corp. , Wells Fargo & Co. and JPMorgan Chase & Co. , claiming that they made fradulent use of an electronic mortgage database, according to published reports Friday. Attorney General Eric Schneiderman said the database, known as the Mortgage Electronic Registration Systems (MERS), has been used so that banks can “evade county recording fees [and] avoid the need to publicly record mortgage transfers,” thereby making it easier to sell mortgages in large numbers, Reuters reported. The suit comes at a time when many Americans are in foreclosure or under the threat of such an action, due to the weakened economy.
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