Nearly 2,300 North Carolina consumers who lost their homes as a result of wrongful foreclosures are expected to begin receiving claim forms that will enable them, collectively, to obtain $2 million in payments from Atlanta-based SunTrust Bank.
State Attorney General Roy Cooper announced Tuesday that the claims forms are going out this week as part of $21.5 million in relief that his office obtained from SunTrust last year.
That relief was North Carolina’s share of a $550 million settlement that involved 48 other states, the District of Columbia, and three federal agencies: the U.S. Justice Department, the Department of Housing and Urban Development, and the Consumer Financial Protection Bureau.
“This settlement gives people who lost their homes to wrongful foreclosures an opportunity to get some money back,” Cooper said in a prepared statement.
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The settlement was modeled on a 2012 settlement against five mortgage servicers, including Bank of America and Wells Fargo.
All told, 2,286 North Carolinians are eligible for cash payments from SunTrust. To be eligible , among other criteria, consumers must have been foreclosed on between Jan. 1 2008 and Dec. 31, 2013 and have a mortgage that was serviced by SunTrust at the time of the foreclosure.
Eligible consumers are expected to receive payments of about $850.
The deadline for submitting claims is June 4. Those with questions or needing help filing a claim can contact the settlement administrator at 1-866-590-8532 or by emailing settlementadministrator@nationalSunTrustsettlement.com.