Did you have a mortgage serviced by Countrywide between Jan. 1, 2005, and July 1, 2008? If yes, you could be entitled to a refund ranging from $500 to several thousand dollars.
It is estimated that more than 450,000 borrowers who took out mortgages with Countrywide Financial will soon receive refund checks. The refunds come as part of a $108 million settlement over claims that Countrywide charged high fees to borrowers facing foreclosure.
The Federal Trade Commission accused Countrywide of marking up costs by charging borrowers who were behind on their mortgages thousands in inappropriate fees. The FTC also accused Countrywide of making false claims to some borrowers about how much they owed on their mortgage and adding fees and other charges to borrowers’ mortgage accounts without any notice.
About 347,000 borrowers who overpaid loan default fees will be fully reimbursed. Another 102,000 borrowers who filed for Chapter 13 bankruptcy protection will be able to split the remaining settlement. The refunds are part of a settlement agreement between the Federal Trade Commission and Bank of America Corp., which acquired Countrywide in 2008, reached last year.
Any borrower still residing in the property covered by the settlement should wait for the FTC’s letter. Those who have moved should send their contact information to:
FTC v. Countrywide Home Loans, Inc.
c/o Gilardi & Co. LLC
P O Box 808054
Petaluma CA 94975-8054
… or email the redress program administrator at ftcvcountrywide@classactmail.com.
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