MERS Accused Of Secretly Selling Consumer Info

Law360, New York (July 16, 2012, 8:39 PM EDT) -- A putative class of consumers hit a Mortgage Electronic Registration Systems Inc. unit with a suit Friday in Georgia alleging the company, which creates consumer reports and maintains files on 63 million people, secretly collects and sells confidential information on residential mortgage applicants.

The putative class action alleges that the information collected by Merscorp Holdings Inc. is included in the consumer reports it sells, which contain confidential identifying information such as Social Security numbers and dates of birth.

The suit alleges that Merscorp uploads mortgage application information to the Merscorp database when mortgages are applied for with a member of national...

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