Oklahoma Attorney General - www.oag.ok.gov

News Release

09/13/2012


Attorney General’s Public Protection Unit Handles Hundreds of Calls at Oklahoma Mortgage Settlement Deadline


OKLAHOMA CITY – With Thursday’s deadline to apply for compensation from the Oklahoma Mortgage Settlement fund, Attorney General Scott Pruitt’s Public Protection Unit received more than 300 calls and last-minute applications.

Oklahomans had until 5:30 p.m. today to submit (or postmark) their application to the Attorney General’s Office. Since Monday, the AG’s Office has received 207 telephone calls and 143 claims. Another 183 claim forms were mailed to consumers upon request.

The funds are the result of an $18.6 million settlement secured by Attorney General Pruitt with five national mortgage servicers – Bank of America, JP Morgan Chase, Citigroup, GMAC and Wells Fargo. The settlement, which followed an investigation by the Attorney General’s Office, enables the state to provide compensation to Oklahomans who were harmed by one of the mortgage servicers during the housing crisis.

“Many of these families were treated unfairly and deserve compensation for their mistreatment and ultimately, for some, the loss of their homes,” Pruitt said. “While we can’t make families entirely whole again for what they endured, we can offer them help and compensation for the harm caused.”

The AG’s Office created an index to determine the amount awarded for specific types of wrongdoing on the part of mortgage servicers. Some of the more common examples include repeatedly lost paperwork by banks, misapplied payments that led to foreclosure, robo-signing of documents that required individual review, unfair practices during mortgage modifications, advising homeowners to stop making regular mortgage payments in order to qualify for a modification, and the practice of dual-tracking when a servicer considers a homeowner for modification while simultaneously pursuing foreclosure.

The AG’s Office will begin distributing checks on or before Oct. 15. Details of the index and information on amounts of compensation also will be released.

The AG’s Public Protection Unit will continue to assist Oklahomans who may qualify for a national settlement that offers refinancing, loan modifications and other options to homeowners who have mortgages with one of the five banks involved in the settlements.

For more information and toll-free numbers to reach mortgage servicers, go online to www.oag.ok.gov and click on the home icon or call (405) 521-2029.

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Oklahoma Attorney General - www.oag.ok.gov

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