Mortgage Electronic Registration Systems, Inc.?
Do you know anything about this company? Do they buy foreclosures for banks? Do people use them so the real purchase does not have to be exposed?
- 1 decade agoFavorite Answer
MERS is a company formed in the 90's that is a "shield" for mortage brokerages and banks. They actually act as NOMINEES for the note holders. As such you will see their names on fore many foreclosures, again acting as nominees for the lending institution. When "things" were OK (before the mort meltdown) , courts accepted MERS as "owner and holder" of the notes, and therefore they were able to foreclose. HOWEVER, some of US got educated in the last few years, and finally convinced the courts that since loans are SECURITIZED imediatley into LOAN POOLS (your 401K has a piece of someone's home loan!!), then MERS COULD NOT be the TRUE owner and holder as they put in writing and file with the courts. THEY LIED TO THE COURT!! That is a felony in the most classic sense of the law; to knowingly and willingly submit false affidavits to a court of law. And one wonders why we have to bail these types out..........SHAMESource(s): MANY and personal experience. GOOGLE:)