July 10, 2015

Vermont Attorney General William H. Sorrell announced today that Bank of America will pay the State $1.25 million to resolve the State’s claim that the bank failed to honor the terms of settlement agreements it entered into with homeowners in foreclosure actions.

“Homeowners faced with foreclosure need to know that when their bank makes a deal to settle the foreclosure action, the deal will be honored,” said Attorney General Sorrell. “When banks fail to live up to promises they make to Vermont homeowners, there will be consequences.”

Under the settlement, $1 million will be paid to the State, and a $250,000 fund will be created to compensate Vermont homeowners who establish that Bank of America failed to honor the terms of their settlement agreement. Any homeowner who wishes to make a claim against the fund may submit a claim form, together with the required documentation, to the Vermont Attorney General’s Office, no later than September 8, 2015. For example, if after a mortgage foreclosure settlement with Bank of America, a Vermonter received statements from the bank with a payment amount, interest rate or total loan balance that was inconsistent with the settlement agreement, the Vermonter should apply for compensation from the fund. Claims must relate to actions of Bank of America that occurred after April 4, 2012, the date of the National Mortgage Settlement.

Published: Jul 10, 2015

Source: http://ago.vermont.gov