United States and Consumer Financial Protection Bureau v. Provident Funding Associates, L.P.
www.MortgageFeeSettlement-Provident.com

Overview of the Settlement

Important Settlement Update

The Participation Form submission deadline was extended through May 8, 2017. Distribution to all eligible, participating borrowers commenced in November 2017.

What is the Settlement about?

The Consumer Financial Protection Bureau and the U.S. Department of Justice investigated Provident’s mortgage lending business. Based on this investigation, the Government claimed that: (1) Provident discriminated against African-American and Hispanic borrowers by allowing its brokers to charge them higher fees for mortgage loans originated from 2006 through 2011; (2) African-American and Hispanic borrowers paid higher broker fees than non-Hispanic White borrowers; and (3) Provident’s broker compensation system led to these higher fees based on race or national origin. Provident agreed to create a $9 million fund to repay eligible borrowers.

Who is included in the Settlement?

To be eligible for a settlement fund payment:

  • A borrower must have obtained a mortgage loan from Provident between January 1, 2006, and December 31, 2011.
  • At least one borrower on the mortgage loan must be African-American, Black, Latino, Hispanic, or of Spanish origin.
  • The borrower(s) must also have been identified by the Government as having been overcharged by Provident.

You do not need to have a current mortgage loan with Provident to be eligible for a payment. It does not matter whether your loan went into default or foreclosure.

What do I do next?

The deadline to complete and return a Participation and Release Form was extended to May 8, 2017. The Participation phase has now closed.

If you have already submitted a complete Participation Form, checks were mailed to all eligible, participating borrowers in late 2017. Eligible borrowers should promptly cash their checks.

Remember:

  • You do not have to take part in this settlement.
  • You do not need to currently have a mortgage loan with Provident.
  • It does not matter whether your mortgage loan went into default or foreclosure.
  • You do not need to hire a lawyer or use a claims filing service in order to take part in this settlement. However, you are free to consult a lawyer of your choice, at your own cost, to discuss whether to take part and to obtain more information on how the settlement might affect you financially.
  • Having a lawyer will not cause you to receive your payment more quickly or increase the amount of your payment.