More than 10,000 Marylanders who lost homes to foreclosure will receive $1,480 in compensation from the National Mortgage Settlement, Maryland Attorney General Douglas F. Gansler announced.
The National Mortgage Settlement is a joint state-federal settlement with the nation’s five largest mortgage servicers:Ally/GMAC, Bank of America, Citi, JPMorganChase and Wells Fargo.
State and federal investigators found that the companies "routinely signed foreclosure related documents outside the presence of a notary public and without really knowing whether the facts they contained were correct."
Maryland borrowers have already received $1.3 billion in relief from the settlement, according to the release. The checks are being mailed Monday through June 17 to 10,470 Maryland residents who submitted a valid foreclosure claim.
"Although this payment won’t fully compensate borrowers for the loss of their home due to mortgage servicing abuses, it does provide some relief and is much higher than the minimum $840 check amount initially announced,"Gansler (D) said in the release.
To learn more about the settlement and what it means to Maryland borrowers, visit the Maryland Attorney General’s website.