BLOG: Foreclosure Settlement Claims Being Mailed Out
By Jim Donovan: Claim forms are being mailed to approximately 2 million Americans who may be eligible for monetary payments as part of the national mortgage foreclosure settlement.
Borrowers who lost homes to foreclosure between January 1, 2008 and December 31, 2011 could receive payments up to $2,000 if their mortgage was serviced by one of the five banks that participated in the settlement with 49 state attorneys general and the federal government. Those banks are: Ally/GMAC; Bank of America; Citi; JPMorgan Chase; and Wells Fargo.
The $2,000 payments are part of the $25 billion settlement reached in February that settled claims of improprieties in mortgage servicing and mortgage foreclosure.
Notification postcards were sent to eligible borrowers last week by the administrator of the national settlement. Between now and October 12, those borrowers will receive packets containing instructions and a one-page form to claim the payment, as well answers to frequently asked questions.
Borrowers with questions may email the settlement administrator at administrator@nationalmortgagesettlement.com, or call 1-866-430-8358, Monday through Friday from 8 a.m. to 8 p.m.
Borrowers eligible under the multistate settlement should complete and return their claim forms as soon as possible, either by using the return envelope provided in the packets or by filing online at www.nationalmortgagesettlement.com. The deadline for all claims is January 18, 2013. Payment checks are expected to be mailed in mid-2013.
Among those in our area that will receive settlement forms are 2,300 Delawareans. "These payments will provide real relief for many Delawareans who lost their homes to foreclosure," said Delaware Attorney General Beau Biden. "I also want to remind all borrowers, regardless of whether they are eligible for payments under the national settlement, that there is help available. Homeowners should keep an eye out for mortgage-related mailings that can inform them about their options..."
