SunTrust customers could get cash back in mortgage settlement
Posted March 17, 2015
Raleigh, N.C. — More than 2,200 homeowners who had mortgages with SunTrust and lost their homes to foreclosure in recent years are eligible for part of a cash settlement worked out by the North Carolina Attorney General's Office.
SunTrust settled a nationwide wrongful foreclosure lawsuit and is on the hook for more than $550 million in payments. North Carolina's portion of that payout is $21.5 million. SunTrust must also meet tougher mortgage servicing standards designed to prevent future problems for homeowners.
Former homeowners must meet the following criteria:
- They were foreclosed on between January 1, 2008, and December 31, 2013.
- Their mortgage was serviced by SunTrust at the time of foreclosure.
- They made at least three payments on the loan.
- They either lived in the home or intended to live in the home at the time they took out the mortgage.
- The mortgage was for a property with at least one and no more than four residential units.
- The unpaid principal of their first mortgage was within certain limits.
Claims forms were mailed this week, and homeowners have until June 4 to submit a claim. The average payment will be around $850, according to Attorney General Roy Cooper.
Consumers can contact the settlement administrator to obtain paperwork or ask questions at 1-866-590-8532 or settlementadministrator@nationalSunTrustsettlement.com.