The Department of Insurance, Securities and Banking reminds local borrowers who lost their homes to foreclosure between 2008 and 2011 that they may be eligible for restitution and must file claims by January 18.
The eligible homeowners had mortgages serviced by the five largest mortgage-servicers: Ally/GMAC, Bank of America, Citi, JPMorgan Chase and Wells Fargo. The servicers agreed in April to a $25 billion settlement with the federal government and the attorneys general of 49 states and the District over foreclosure abuses such as “robo-signing” or not processing foreclosures thoroughly and carefully. The authorities earmarked $1.5 billion to partially repay 2 million homeowners.
The claim form and instructions were sent to the 1,475 local eligible borrowers in October. Borrowers who have questions or need help can contact the settlement administrator toll-free at (866) 430-8358 or send questions by email to [email protected]. Borrowers who believe they may qualify for a payment, but did not receive a notice because they have moved, should also contact the settlement administrator.
Finally, the department warns people not to fall prey to scams: eligible borrowers do not need to pay anyone to help file their claim. Don’t provide personal information to someone calling or emailing you claiming they can provide assistance. If you are contacted, notify the Department of Insurance, Securities and Banking by phone at (202) 727-8000.
For more information about eligibility and filing a claim:
Email: [email protected]
Call toll-free: (866) 430-8358 (hearing impaired: (866) 494-8281). The line is staffed Monday through Friday from 7 am to 7 pm Central.