National Mortgage Settlement - any updates?

[bluemartini]

Hello, I've used the search engine several times to see if anyone has posted comments on the National Mortgage Settlement and I'm not finding anything. The search engine tells me that the words are too common and to try again.

I am in Florida and I have filed my claim form... I'm just waiting to receive my check. I was told that they would be mailed out by this summer so I know it will be a while... the question is just how much it will be. I did see a Palm Beach Post article online that said something like only 1/3 of eligible Floridians have filed claims ... which means there will be a bigger share of money for those of us who did file claims.

If anyone hears updated info on when our checks are being issued in Florida, please post it here! Thanks!

Also, if anyone can direct me to links of any other discussions about it here on the BKForum boards, I would love to see that too. I have searched and have not been able to find anything. Thanks.

[HHM]

Not having read the settlement, I think the assumption that you will get more if others don't file a claim is probably wrong...that is not how this sort of thing usually works. They will have set amounts payable depending on what sort of harm "the banks" think you suffered.

[bluemartini]

Thanks for your response. You may be right, but for my sake I hope not!

When I phoned the Nat'l Mortgage Settlement number to check to make sure they'd received my claim, the guy I spoke with did say that the amount I receive will depend on how many people file claims. He said it could be anywhere from $800 to $3,000 but that they wouldn't know until the deadline had passed for filing claims. This was just what I heard from the guy on the phone so I don't know if that is the official word or not.

[HHM]

I hope you get some money.

But on a grander scale, the settlement is a debacle. When they announced the settlement, the independent review of mortgage/foreclosure ceased. Prior to the settlement, the banks were required to hire independent consultants to review each foreclosure; this task turned out to be bigger and much more costly than anticipated, but at least a disinterested party was reviewing the foreclosures. That process stopped.

So, it begs the question, who is going to decide? Well, looks like it will be the banks that caused the problem will be in charge of determining how much each person will get.

[brokeinal]

In the executive summary of the settlement and the FAQ's found here (nationalmortgagesettlement.com)...it clearly states that the settlement specifically sets up new guidelines that require banks to internally/personally review each foreclosure, with no dual tracking...and all of that will be overseen by independent/outside Monitors who report directly to each state's Attorney General. The settlement agreement is a federal court judgment, which means if the banks violate it, a federal agency or state AG can impose fines. There seems to be a very thorough metrics report card set up, as well as testing to ensure that borrower's account info is being reported accurately.

Additionally, here is what the settlement page itself says about payments: "You may be eligible to receive a payment of at least $840.00 as part of the National Mortgage Settlement. This estimated payment amount is based on 100% of all eligible borrowers submitting claim forms, and therefore the payment you receive will very likely be higher." So it does appear that the amount you receive will be based on how many claimants file...fewer filers means higher payment.

(And FWIW OP, I'm waiting on my check too. And was also just told mid-summer. Since the filing deadline hasn't passed yet, I don't think anyone can guestimate how much we will get.)

[em96]

I got a notice in the mail saying I will receive a check or information regarding my check in 4-8 weeks from Rust Consulting Inc. It did not specify an amount. I guess its a good thing to get something back after all the headaches. I didn't lose my house. It was a few weeks away from the sale date when we filed Chap 13. I believe there was over $5000 in late fees/attorney fees tacked on to the mortgage that was repaid under the Chap 13. I don't expect to get that much back but anything is better than nothing. If you ask me the banks got off easy. Yeah they're paying out a lot of $$, but how many people lost their homes? They won't get them back.

[drowning123]

I don't remember filing a claim, but I too got the same notice from Rust Consulting.

[spidge]

I don't remember filing a claim, but I too got the same notice from Rust Consulting.

No claim required, although you may have received a request to be involved in the Independent Mortgage Review late last year. I did not respond myself, but if you go to the government links on the post card you will read that the banks involved settled and anyone involved in foreclosure collections would be included. So if you entered into the foreclosure process in any way it appears you may automatically be included. I wonder about the math they used as the determining factor for the money of coarse. Not that it matters for me as I will just send it to the trustee.

[drowning123]

Thanks for the info, spidge. I was 2 months away from auction, without being notified, actually. I just happened to call one day to discuss a modification, and the automated system said the house was scheduled for auction at such and such a date. That was when I pressed hard for a modification and got lucky. I'm still in the house. I'm curious myself about the dough. I'll get to keep it, but it's probably not much anyway. Good luck with everything.

[goon]

Here is an interesting FAQ on the US Trustee/Justice department website titled
"The National Mortgage Settlement Frequently Asked Questions(FAQs) for Borrowers in Bankruptcy and Case Trustees"
Some interesting information.

http://www.justice.gov/ust/eo/public_affairs/consumer_info/nms/docs/nms_faqs.pdf

[spidge]

Here is an interesting FAQ on the US Trustee/Justice department website titled
"The National Mortgage Settlement Frequently Asked Questions(FAQs) for Borrowers in Bankruptcy and Case Trustees"
Some interesting information.

http://www.justice.gov/ust/eo/public...s/nms_faqs.pdf

Thanks for the post, but it looks like the trustee will get mine anyway. Good read, and it does look like there are situations where the trustee may not seek recovery based on individual situations.

[em96]

Got a check today for $2000. I have no idea how they came up with that amount. My bankruptcy attorney fees along with Chase's foreclosure attorney fees that they charged me were way more than that. But as far as I'm concerned its free $$. I can only hope it hurts Chase where it counts - those crooks.

[brokeinal]

Got a check today for $2000. I have no idea how they came up with that amount. My bankruptcy attorney fees along with Chase's foreclosure attorney fees that they charged me were way more than that. But as far as I'm concerned its free $$. I can only hope it hurts Chase where it counts - those crooks.

Was the check from the Independent Foreclosure Review.or the National Mortgage Settlement? I didn't think the NMS checks were can were going out until June/July! I got an IFR check for $300, even though we were in bk and they said the bk people would get more...that was last week.

[brokeinal]

Here is an NMS update:


Payments to borrowers who lost their homes to foreclosure

Update: April 22, 2013

Approximately $1.5 billion of the funds recovered in the national settlement are being used to compensate borrowers who lost their home to foreclosure during the period of January 1, 2008, to December 31, 2011. The deadline to submit a claim form has now passed. If you have submitted a claim form, the Settlement Administrator Rust Consulting, will contact you if any additional information is needed to complete your claim.

Rust Consulting can be reached at 1-866-430-8358. Checks to borrowers who submitted claim forms are expected to be mailed mid to late May. The exact amount of the payment to be made to each eligible claimant is not yet known but it is anticipated it will exceed the minimum payment of $840 that was indicated on the claim form.

Please be aware that Rust Consulting is also the settlement Administrator for the Independent Foreclosure Review (IFR) Payment Agreement obtained by the Office of the Comptroller of the Currency and the Federal Reserve Board. The IFR settlement is completely separate from the National Mortgage Settlement and does not include the same governmental agencies. The IFR payments began in mid-April of 2013, and will continue in mailings until July 2013. You can find additional information on the OCC Independent Foreclosure Review settlement at this website: http://occ.gov/topics/consumer-prote...ention/correct...

You may be eligible for payments under both settlements. Accepting a payment from either settlement will not affect any rights you may have to take legal action related to your foreclosure.
Payments to borrowers who lost their homes to foreclosure

Update: April 22, 2013

Approximately $1.5 billion of the funds recovered in the national settlement are being used to compensate borrowers who lost their home to foreclosure during the period of January 1, 2008, to December 31, 2011. The deadline to submit a claim form has now passed. If you have submitted a claim form, the Settlement Administrator Rust Consulting, will contact you if any additional information is needed to complete your claim.

Rust Consulting can be reached at 1-866-430-8358. Checks to borrowers who submitted claim forms are expected to be mailed mid to late May. The exact amount of the payment to be made to each eligible claimant is not yet known but it is anticipated it will exceed the minimum payment of $840 that was indicated on the claim form.

Please be aware that Rust Consulting is also the settlement Administrator for the Independent Foreclosure Review (IFR) Payment Agreement obtained by the Office of the Comptroller of the Currency and the Federal Reserve Board. The IFR settlement is completely separate from the National Mortgage Settlement and does not include the same governmental agencies. The IFR payments began in mid-April of 2013, and will continue in mailings until July 2013. You can find additional information on the OCC Independent Foreclosure Review settlement at this website: http://occ.gov/topics/consumer-prote...ention/correct...

You may be eligible for payments under both settlements. Accepting a payment from either settlement will not affect any rights you may have to take legal action related to your foreclosure.

[michaela]

I rec'd my check yesterday for $300