Beazer To Refund Millions To NC Borrowers

MARTHA WAGGONER

RALEIGH, N.C. (AP) — Beazer Mortgage Corp., which ceased operations more than a year ago, will refund $2.5 million to more than a thousand borrowers in North Carolina as part of a settlement over claims the Atlanta-based company violated state lending laws, state banking and company officials said Tuesday.

The banking commissioner's office said it investigated Beazer in 2007, finding "numerous and serious violations" of state lending laws.

"We believe that many homeowners were sold loans from Beazer Mortgage that violated North Carolina law," said Mark Pearce, deputy commissioner of banks. "These homeowners will receive a substantial refund of fees we believe were collected illegally." ...