Attorney General J.B. Van Hollen and Department of Financial Institutions’ Secretary Peter Bildsten are advising the public that checks are in the process of being mailed to approximately 1,700 Wisconsin customers of Ocwen who lost their homes through foreclosure between 2009 and 2012. The checks should begin arriving this week.
The payments, approximately $1,150 each, are being made pursuant to the nationwide settlement between the states and Ocwen, stemming from alleged misconduct in the servicing of loans. Under that nationwide $2.1 billion settlement reached in late 2013, Ocwen agreed to provide loan reductions to ongoing borrowers, and $125 million in payments to homeowners whose mortgages were foreclosed. Wisconsin Ocwen customers are receiving approximately $2 million of the cash payments.
“I’m pleased we’re able to offer some relief to Wisconsin residents who’ve already endured the hardship of foreclosure,” Attorney General Van Hollen said. “With the settlement, we were able to hold another mortgage servicer accountable for unfair practices and prevent other Wisconsin consumers from being treated unfairly in the future.”
“Protecting Wisconsin consumers from deceptive practices such as those used by Ocwen is a responsibility the Department of Financial Institutions takes very seriously,” DFI Secretary Bildsten said. “This settlement should serve as a strong reminder to other financial institutions that such practices will not be tolerated.”
Ocwen customers had until September 15th of this year to file claims under the settlement. Of the 2,446 Wisconsin homeowners potentially eligible, 1,706 submitted claims that were determined to be valid. Those who filed claims but were deemed ineligible will be receiving explanations of the determination of their ineligibility.
Consumers who have any questions about their payments, or the reason they were deemed ineligible, should contact the settlement administrator at 1-866-783-5382. Additional information can be found online at www.nationalmortgagesettlement.com.
Wisconsin residents who have questions about the settlement also may contact the Wisconsin Department of Justice at email@example.com, or by telephone at 800-0700 or 608-266-1852.