Las Vegas, NV - December 19, 2013
Nevada Division of Mortgage Lending, in conjunction with authorities in 48
other states and the District of Columbia, today announced a settlement agreement
with Ocwen Financial Corporation and its subsidiary Ocwen Loan Servicing that
will provide $2 billion in principal reduction to underwater borrowers. Ocwen must also refund $125 million to nearly
185,000 borrowers who have already been foreclosed upon.
agreement with the nation’s largest nonbank mortgage servicer, which also
includes the portfolios of several companies recently acquired by Ocwen
including Homeward Residential Holdings LLC (formerly American Home Servicing
Inc.) and Litton Loan Servicing LP, is the result of a civil law enforcement
investigation that includes state attorneys general, state mortgage regulators
and the federal Consumer Financial Protection Bureau. The investigation focused
on the systemic misconduct at every stage of the mortgage servicing process.
Nevada, the settlement will provide troubled homeowners with an estimated $32.7
million in first-lien principal reductions, and borrowers on more than 6,262
loans that were foreclosed will be eligible to receive a cash payment.
addition to the monetary relief for foreclosed homeowners, Ocwen must also
enact significant reforms to improve all aspects of its servicing operations.
with questions about the settlement should contact Ocwen directly at 1-800-337-6695
or email firstname.lastname@example.org.
that feel they have been a victim of a foreclosure scam or mortgage
modification fraud are encouraged to contact the Mortgage Lending Division at (702)
486-0782 to file a complaint. The licensing status of a business can be
verified by checking the Division’s website at mld.nv.gov, by calling (702) 486-0782 or
by emailing email@example.com.
About the Mortgage Lending Division
The Division is authorized to enforce the statutes and regulations
pertaining to Mortgage Bankers, Mortgage Brokers, Mortgage Agents, Escrow
Agencies, Escrow Agents and Loan Modification Consultants, Foreclosure
Consultants and other persons who provide similar services. The mission
of the Division of Mortgage Lending (MLD) is to promote professionalism,
education and ethics in the mortgage lending, escrow, loan modification and
foreclosure consultant industries through fair regulation and coordination with
industry and consumer groups in addition to providing consumers with a fair and
balanced complaint resolution process.