Connecticut Attorney General George Jepsen and state Banking Commissioner Howard Pitkin are encouraging Connecticut borrowers who believe they suffered financial injury because of harmful mortgage loan servicing and foreclosure practices to participate in an Independent Foreclosure Review and claims process.
“This presents an opportunity for Connecticut borrowers to receive some compensation for damages they suffered as a result of harmful practices by the loan servicing companies during foreclosure,” Jepsen said. “I would encourage them to take advantage of this program.”
“This is an important program and I encourage anyone who was involved in the foreclosure process and is eligible to participate in this review,” Pitkin added.
To be eligible for review and financial remediation, borrowers must have had a mortgage in the foreclosure process between Jan. 1, 2009, and Dec. 31, 2010. In addition, the property securing the loan must have been the borrower’s primary residence, and the loan must have been serviced by one of 24 loan servicers, including Bank of America, Chase and GMAC.
The Independent Foreclosure Review and claims process was ordered by the Office of the Comptroller of the Currency and the Board of Governors of the Federal Reserve System — the federal agencies with responsibility and authority to regulate and supervise the loan servicers.
The federal agencies have ordered independent firms to evaluate whether individual borrowers suffered financial injury as a result of their loan servicer’s errors, misrepresentations or other deficient foreclosure practices; and to determine the appropriate amount of financial remediation that the loan servicer must provide to individual borrowers.
Many Connecticut borrowers have already received letters from the independent firms approved by the federal regulators. Those and other eligible borrowers are advised to complete the forms and mail them to the address provided by the April 30, 2012 deadline. Borrowers who have questions regarding the Independent Foreclosure Review and claims process should call the program administrator at 1-888-952-9105 or visit the program website at www.independentforeclosurereview.com.