FRANKFORT, Ky.: Kentucky Attorney General Andy Beshear says his office has reached a settlement with a national mortgage recording company that will provide $2.8 million for the state.
Beshear said the deal with MERSCORP Holding and its wholly owned subsidiary, Mortgage Electronic Registration Systems, will result in more protections for homeowners.
The settlement stems from a lawsuit filed by Beshear’s predecessor, Jack Conway. The suit accused the company of failing to record mortgage assignments with county clerks when mortgages were sold or transferred from one bank to another.
Beshear says the system was created to avoid paying fees in county clerk’s offices. He says MERS did not admit liability in agreeing to terms.
Beshear is urging lawmakers to use the $2.8 million to support affordable housing, legal aid foreclosure work and to help county clerks’ budgets. -AP
