People who were foreclosed on in 2009 and 2010 may be eligible for financial compensation from a settlement fund a number of banks have participated in. The problem is that with a December 31, 2012 deadline to get claims in for review, many may not be aware of this program.
According to the official website for this program, independentforeclosurereview.com, “The Independent Foreclosure Review will determine whether individual homeowners suffered financial injury and should receive compensation or other remedy because of errors or other problems during their home foreclosure process.”
In an effort to get the word out before this program expires the Office of the Comptroller of the Currency will launch a national media campaign to target communities hardest hit by the foreclosure crisis.
The OCC says, “Outreach includes direct contact with eligible borrowers by mail, e-mail, and telephone. Outreach also includes coordinated activity by community, housing, and faith-based groups.”
If the review finds that financial injury occurred, the borrower may receive a financial award such as lump-sum payments, suspension or rescission of a foreclosure, a loan modification or other loss mitigation assistance, correction of credit reports, or correction of deficiency amounts and records. Lump-sum payments can range from smaller amounts for less serious errors to $125,000 plus equity in the most egregious cases.