UPDATE: Attorney General Josh Shapiro Sends Settlement Notification to Consumers Eligible for PHH Mortgage Restitution
HARRISBURG — Attorney General Josh Shapiro today announced that, beginning November 2, notification postcards will be sent to borrowers who were subjected to PHH Mortgage foreclosures between 2009 and 2012 and qualify for a restitution payment of at least $840 per consumer.
In January, Attorney General Shapiro and 48 other state Attorneys General announced a $45 million settlement with PHH Mortgage Corporation, which improperly serviced mortgage loans over a three-year period. The settlement provides $30.4 million in restitution for borrowers nationwide, including an estimated $1.2 million for Pennsylvanians.
“With this settlement, my Office is holding PHH Mortgage accountable for harm done to Pennsylvania homeowners whose home loans were improperly serviced. Impacted consumers will receive the restitution they’re entitled to,” Attorney General Josh Shapiro said. “The settlement also requires change in PHH’s behavior to make sure this company treats consumers fairly and doesn’t repeat the reckless conduct that harmed homeowners across the country.”
Borrowers who were subjected to PHH foreclosures during the three-year period may qualify for a restitution payment of at least $840 and potentially more. Borrowers who faced foreclosures that PHH initiated – but who did not lose their homes – may also qualify for restitution payments. Under the terms of the settlement, 2,266 Pennsylvanians are eligible for payments.
A settlement administrator will contact eligible homeowners by postcard beginning this week. If you receive a postcard, please follow the instructions on the document to claim your restitution.
Consumers who receive postcards or other notifications about PHH also may call the Office of Attorney General’s Bureau of Consumer Protection at 800-441-2555 with any questions or to confirm the legitimacy of the communication.
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