- February 05, 2009
- All New York State Office Counsel, Managers and Agents
- Fraudulent MERS Satisfactions and Fraudulent Mortgage Satisfactions
A number of MERS satisfactions have turned out to be fraudulent. It is important to carefully examine the record when a satisfaction is recorded for a MERS held mortgage or any other mortgage and no contemporaneous financing is found of record.
There are ways to spot fraudulent satisfactions:
- a mortgage satisfied in a short period of time after being made, with no contemporaneous refinance;
- there is no existing mortgage of record and a prior mortgage, or mortgage in the chain held by MERS has been satisfied;
- request the lender to provide the credit report to determine if the satisfied mortgage is still listed as open on the credit report
- check the actual document to determine who submitted the satisfaction for record, where the document was returned and the validity of the notary on the signature.
If you have any doubt, contact the legal department.
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