Hi Everybody,
I used to work for CMS. I can give you a glimpse of what happend. The long and short of it is that Jay Duncan is right. They went out of business due to non-payment from their clients. They simply stopped paying, and expected CMS to continue to do the work. JP Morgan Chase / BANKONE was the worst offender, especially after their merger, but I know for a fact that there were other companies.
The last information I knew (which granted is six months old now), CMS had several hundred unrecorded mortgages sitting in their record room simply due to the fact that CHASE wouldn't pay them to record them. CMS went through CHASE's accounts payable, and developed a spreadsheet showing exactly what was owed by CHASE to CMS, and what hadn't been paid, by matching invoice to paid bill by account/mortgage number from CHASE's system. It was a long list. CHASE disputed most of it (even though it came from THEIR accounting system) finally said they would pay part of it, then didn't pay it, and didn't pay it, and then that was the end. Near the end, CMS combined with their sister company AccuData, but the two couldn't shrink enough in order to stay afloat with so much debt hanging over their head.
So Ricky, you're not the only part of the industry that fronts fees. The entire time I worked there in abstractor network management, they had a strict 30 day pay policy, when sometimes they didn't get paid for 60 or 90 days from the bank / mortgage company. I guess the moral of the story is, be ready to cut your client off.

Sincerely,
Charles W. Skinner

to post a reply: login - or - register