BANKS STALL PAYING PROPERTY TAX, HURTING HOMEOWNERS, SAYS STUD Y.(Local)

Byline: Combined wire services

Banks and other mortgage holders are cheating on property tax payments and jeopardizing homeowner credit ratings, the state's top consumer advocate said Thursday.

Richard Kessel, director of the state Consumer Protection Board, said that a growing number of banks have been delaying tax payments, hoping to make more money on escrow accounts that the banks set up to handle homeowners' expenses.

Although mortgage lenders are required to pay penalties on the late payments, it is the individual homeowners who often suffer, Kessel said.

Not paying property taxes on time can affect credit ratings, result in tax liens …