Attorney General Schuette and 48 other states entered into a settlement with Ocwen Financial to address allegations of faulty foreclosure processes and poor servicing of mortgages that harmed Michigan homeowners.
The settlement requires that Ocwen provide up to 2.1 billion in relief to consumers. Michigan residents are expected to receive approximately $21 million in first-lien principal reductions and more than 8,000 homeowners that went through foreclosure will be eligible for to receive a cash payment.
Michigan residents who went through foreclosure from 2009-2012 while the loan was serviced by Ocwen, Homeward, or Litton may be eligible for cash payments if other eligibility requirements are met. Eligible consumers will be contacted by the settlement claims administrator.
For loan modifications, borrowers may be contacted by Ocwen directly. If your loan is currently serviced by Ocwen, you may also contact Ocwen directly to see if a loan modification is possible. You can reach Ocwen at 800-337-6695.
Citizens are also encouraged to contact a free, state-certified housing counselor through the Michigan State Housing Development Authority to determine whether they are eligible for additional assistance beyond that offered in the settlement. Visit MSHDA's website or call their toll-free hotline at 866-946-7432.
Attorney General Schuette is working hard to ensure Michigan citizens have all the information about this important settlement. Please check back to this website, as updates will be added once more information becomes available.