Wednesday, 17 October 2012

Utah Residents May Be Eligible for Foreclosure Settlement

As many as 16,000 residents of Utah, who lost their homes to foreclosure, could soon be eligible to receive a check as part of a national mortgage settlement.
According to the Utah Attorney General’s office, about 16,000 residents will begin receiving claim forms soon.  The one-page claim forms must be filled out, and returned by January 18.
The checks that these residents will be eligible for are part of a national mortgage settlement between individual states as well as the 5 main mortgage lenders.  Borrowers around the country, who had their mortgage loans financed by Bank Of America, Citibank, Wells Fargo, J.P. Morgan Chase and Ally/GMAC, are eligible for checks under the settlement.  The settlement is for $1.5 billion dollars, and is meant to be distributed to 2 million borrowers.
Individual borrowers in the state of Utah, who had their mortgage loans financed by these companies, could be eligible for checks that run into the hundreds of dollars.  According to the Utah Attorney General’s office, most of these people who had their homes foreclosed between 2008 in 2011, will receive checks for between $800 and $2000.
Mortgage loans that were financed by Fannie Mae, Freddie Mac and the FHA will not be included in this mortgage settlement.  In order to be eligible for the settlement and receive your check, you must make sure that your claim form is completed by the deadline date of January 18, 2013.  There are risks of scams with this particular settlement too.  Salt Lake City foreclosure attorneys are already warning about scams, in which people approach you to pay them to help in filling out the forms.