You can now read 5 articles in a month for free on Read as much as you want anywhere and anytime for just 99¢.

Little time left to get payment for foreclosure

Massachusetts residents who lost their homes to foreclosure between 2008 and 2011 have until Friday to apply for a one-time payment connected to a $25 billion national mortgage settlement reached by attorneys general and five major lenders.

The estimated 21,000 state residents eligible to receive between $1,500 and $2,000 risk losing out on the payment if they fail to act this week, according to Massachusetts Attorney General Martha Coakley.

Continue reading below

The money comes from last year’s deal to settle allegations of sloppy and fraudulent foreclosure procedures on the part of the lenders. As part of the agreement, the companies set aside $1.5 billion to be distributed to about 2 million US borrowers.

“These payments will help those who were foreclosed in recent years by entities we allege didn’t follow proper servicing standards, and we encourage all eligible borrowers to file claims,’’ Coakley said in a statement.

Qualified borrowers include those who lost their homes to foreclosure between Jan. 1, 2008, and Dec. 31, 2011, and had loans serviced by one of the top US banks: Bank of America Corp., JPMorgan Chase & Co., Wells Fargo & Co., Citibank, and Ally Financial Inc.

Borrowers do not have to prove they were financially harmed to receive a payment, Coakley said.

Those eligible for a payout should have received a claim form in the mail, the state said. It advised borrowers who did not receive such notification to immediately contact the settlement administrator at or by phone at 1-866-430-8358. For more information, go to

Jenifer B. McKim can be reached at Follow her on Twitter @jbmckim.
Loading comments...
Want each day's news headlines delivered fresh to your
inbox every morning? Just connect with us
in one of the following ways:
Please enter a valid email will never post anything without asking.
Privacy Policy
Subscriber Log In

You have reached the limit of 5 free articles in a month

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of
Marketing image of