The $25 billion mortgage settlement between the nation’s five largest banks the 49 of the states is in full swing now. Already some $15.8 billion has been provided to those affected by unlawful foreclosures or mortgage debt troubles. Hundreds of thousands of homeowners around the country have already been helped, many more are waiting to receive help through mortgage modification, refinancing and other mortgage relief efforts. The participating banks are also reaching out to help our military service men and women who may also benefit from the settlement.
The National Mortgage Settlement includes special provisions just for military members who may be facing mortgage trouble. Some of the help included for this special population includes foreclosure help, loss assistance and an additional $10 million in VA-backed loans. More specifically, the settlement accounts for violations of the Servicemembers Civil Relief Act and orders for :
- Restitution up to $116,785 for service members who faced a foreclosure, going back to January of 2006.
- Restitution up to $500 for overcharge of interest in mortgages carrying more than a 6% interest rate.
- Compensation for military members who had to sell their homes at a loss because of a base transfer.