EL PASO, Texas —
A civil attorney, Richard Roman, said he warned El Paso County officials about a scheme that resulted in people being unfairly kicked out of their homes, but the county did nothing to stop it.
KFOX14 News has reported that the County Attorney’s office has filed a lawsuit against several national banks. Roman said they waited too long and now several of his clients have had their lives ruined.
Mortgage Electronic Registration Systems (MERS) is what some are calling a scheme by national banks to sell mortgages to each other without paying filing fees, or notifying homeowners.
People have ended up paying the wrong bank and then faced eviction before they knew what was happening.
Marcos Villalobos said after losing his job he applied for mortgage assistance with his bank, not realizing that his mortgage had been electronically sold to another bank.
“I woke up one Friday morning with constables in front of my home and with strangers bringing out my stuff in front of my home,” Villalobos said. “It happened in front of the neighbors, which was a very embarrassing moment.”
Another victim, who did not want to be identified, cried and said that the same thing happened to them. The person said that explaining to teenage children why the family had to move was a moment that would never be forgotten.
El Paso County has joined nine other Texas counties in a class action suit against the banks.