Title Insurance Overcharges

If you refinanced you home in the last couple of years, you may have been overcharged on title insurance. Many states require companies to lower their rates for title insurance fees associated with a home mortgage, especially when refinancing.

For example, title insurers in some states may only charge a regulated rate for title insurance. When a consumer refinances their home, that rate may have to be discounted. Unfortunately, many title insurance companies are illegally not discounting their rate and overcharging consumers.

A recent lawsuit filed in Pennsylvania against Chicago Title Insurance Company states that the company overcharged title insurance fees, which is in violation of state law. The lawsuit contends that Chicago Title was supposed to give a 10-30% discount to consumers refinancing their home.

Chicago Title may not the only title insurance company overcharging for title insurance. It is important to check your state laws and consult an attorney for a free case review regarding title insurance overcharges.

Title insurance companies across the country are being sued by dozens of consumers for overcharging on title insurance during their home refinancing.

The title insurance companies are being accused of breaking state laws by charging consumers more than the law allows on home refinancing and not giving mandated discounts on some refinances.

Title insurance is almost always required by banks for refinancing home mortgages to protect the home's title.

The plaintiffs claim the title insurance companies knowingly broke state law by overcharging on title insurance fees.

The plaintiff's lawyer that was recently interviewed, said that a number of lawsuits were being filed against several large title insurance companies on the east coast.

Title insurance companies in certain states are required by law to file the rates they plan to charge with the department of insurance. And once they do they are legally bound to charge homeowners those rates.

"Unfortunately, nobody knows what these laws are. No homeowner has ever seen them, and what you have in many refinances are title companies knowingly charging the customers more than the law says they're allowed," said the plaintiff's attorney.

Plaintiffs are suing some of the biggest title insurance companies, including but not limited to Ticor Title, Fidelity National Title, and First American Title.