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Virginia Homeowners Benefit from State and Federal Mortgage Foreclosure Settlement

October 16, 2012 Davis Law Group

As many people already know, Virginia Attorney General Ken Cuccinelli agreed to the $25 billion joint federal-state settlement for victims of foreclosure abuses and fraud.  You can read the February 9, 2012 press release HERE.  The Attorney General of Virginia WEBSITE provides useful information for those affected by the settlement.  This marks the largest consumer financial protection settlement in the history of the United States.   This settlement involves five of the largest mortgage servicers in the country: Ally/GMAC, Bank of America, Citi, JPMorgan Chase, and Wells Fargo.  However, both Fannie Mae and Freddie Mac loans are not included with the settlement.

The National Mortgage Settlement will offer immediate help to homeowners in need of a loan modification or refinance.  The settlement also provides payment to borrowers who lost their homes due to foreclosure between January 1, 2008 and December 31, 2011.  Please be aware that there deadlines and forms that must be submitted to protect your benefits from the settlement!

Be on the lookout in your mail for the Notice Letter and Claim Forms – they should arrive in October 2012.  You must submit your claim no later than January 18, 2013.  You can submit your claim online by clicking this LINK or you can send your claim in the mail (make sure it is postmarked no later than January 18, 2013).  You can find the Claim Form Instructions HERE.  Also, I suggest that you complete THIS FORM provided by the Office of the Attorney General of Virginia to ensure that you receive the Notice Letter and Claim Forms.  For more information check out the National Mortgage Settlement WEBSITE or contact the National Mortgage Settlement Administrator at 1-866-430-8358.

What do you think about this settlement?  Did it go far enough?  Do you plan on participating?