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This settlement is closed!
Please see what other class action settlements you might qualify to claim cash from in our Open Settlements directory!
UPDATE:
- The settlement was granted final approval on April 16, 2021.
- Let Top Class Actions know when you receive a check in the comments section below or on our Facebook page.
Loan servicing company Seterus Inc. has agreed to pay $7 million to settle claims it unlawfully threatened homeowners with foreclosure in its notice of default letter.
Homeowners in Alabama, California, Florida, Georgia, Kansas, Michigan, Missouri, New Jersey, New York, North Carolina, and Pennsylvania who received notices of debt and possible acceleration on their mortgage loans from Seterus may benefit from this settlement.
The letters must have been dated during the following period in each state:
- Alabama: May 7, 2018, through Feb. 28, 2019
- California: Feb. 7, 2018, through Feb. 28, 2019
- Florida: Jan. 25, 2018, through Feb. 28, 2019
- Georgia: March 1, 2018, through Feb. 28, 2019
- Kansas: Aug. 24, 2017, through Feb. 28, 2019
- Michigan: Sept. 4, 2012, through Feb. 28, 2019
- Minnesota: May 24, 2018, through Feb. 28, 2019
- Missouri: Nov. 13, 2017, through Feb. 28, 2019
- New Jersey: Sept. 12, 2017, through Feb. 28, 2019
- New York: Sept. 7, 2017, through Feb. 28, 2019
- North Carolina: Nov. 2, 2013, through Feb. 28, 2019
- Pennsylvania: Dec. 18, 2017, through Feb. 28, 2019
A class action lawsuit alleged Seterus violated the federal Fair Debt Collection Practices Act (FDCPA), as well as other debt collection laws in several states.
Seterus, a subsidiary of International Business Machines Inc. (IBM), denies the allegations made in the class action lawsuit.
Class Members do not need to submit a claim form in order to benefit because Seterus’ records will be used in determining eligibility.
Payments will be made via check and will vary depending on which Class the claimant belongs to.
The Alabama Class, California Class, Florida Class, Georgia Class, Kansas Class, Minnesota Class, Missouri Class, New Jersey Class, New York Class, and Pennsylvania Class collectively are referred to as the FDCPA Classes, which will receive different amounts than the Michigan Class and North Carolina Class.
The FDCPA Classes rely solely on federal relief and are thereby subject to the act’s cap of the lower of $500,000 on statutory damages or 1 percent of the defendant’s net worth, according to the settlement agreement.
The FDCPA further requires individual Class Members be “in default” at the time Seterus started servicing the loan.
The FDCPA Classes will receive about $100 gross for each unique loan associated with any Class Members. The amount will be prorated in states where $100 for each Class Member
would exceed the cap.
Members of the Michigan Class can expect to receive approximately $150 gross per unique loan, while members of the North Carolina Class will receive $286.64 gross per unique loan.
North Carolina is the only state in which summary judgment and class certification in the Seterus class action lawsuit had already been addressed.
These gross amounts will be reduced after administrative expenses, attorneys’ fees, and other costs have been deducted from the settlement fund.
More information on the calculation of settlement amounts can be found in Section 8 of the settlement agreement.
A final hearing in the case is scheduled for April 9, 2021.
No claim form is required.
The deadline to opt out of the settlement is March 19, 2021.
Who’s Eligible
Homeowners in Alabama, California, Florida, Georgia, Kansas, Michigan, Missouri, New Jersey, New York, North Carolina, and Pennsylvania who received notices of debt and possible acceleration on their mortgage loans from Seterus between the applicable dates in each state.
Potential Award
Varies.
- The FDCPA Classes will receive about $100 gross for each unique loan associated with any Class Members. The amount will be prorated in states where $100 for each Class Member would exceed the cap.
- Members of the Michigan Class can expect to receive approximately $150 gross per unique loan.
- Members of the North Carolina Class will receive $286.64 gross per unique loan.
The gross amounts will be reduced after administrative expenses, attorneys’ fees, and other costs have been deducted from the settlement fund.
Proof of Purchase
N/A
Claim Form
NOTE: If you do not qualify for this settlement do NOT file a claim.
Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.
Claim Form Deadline
N/A
Case Name
Koepplinger v. Seterus Inc., Case No. 1:17-cv-00995 in the U.S. District Court for the Middle District of North Carolina
Final Hearing
04/09/2021
Settlement Website
Claims Administrator
Koepplinger, et al. v. Seterus Inc., et al.
Settlement Administrator
P.O. Box 43502
Providence, RI 02940-3502
1-866-658-6769
info@seterusfinalletteraction.com
Class Counsel
Scott C. Harris
Patrick M. Wallace
WHITFIELD BRYSON LLP
Edward H. Maginnis
Karl S. Gwaltney
Asa C. Edwards
MAGINNIS HOWARD LAW PLLC
Defense Counsel
Brian A. Kahn
R. Locke Beatty
MCGUIREWOODS LLP
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17 thoughts onSeterus to Pay $7M to Settle Class Action Lawsuit over Alleged Unlawful Debt Collection Practices
Seterus acquired my husbands mortgage from BOA they screwed us every time they could
what about MD. those people treated you like crap
Seterus aquired my loan from fanny may Freddy Mac they told me to stop paying everything and look for a modification 4 months later I received a bill for $581,000 it was my grandparents house and I had to sell it at a loss.they made up this number!!!!
Please add me to this class action against SETERUS case 1:17-cv-00995. Thanks !
After they received the serving rights from BOA they demanded the loan be paid off before my husband could get financing from his bank. Which there was only 8 thousand left on the loan. A few months after I thought my home was paid off I received a foreclosure letter and lost my home after 33 years.
I would like to talk to someone please. I have all of my documents from Seterus. I would like to have my questions answered. Can a consumer be entitled to attend the hearing? My phone # has changed. 910-470-2215
Correction to my name.. and I lived in SI, NY at the time
Seterus acquired my mortgage through Chase in Aug/Sept 2012 at which time my home had gone into Contract for sale. Documents were ignored by Seterus and then Hurricane Sandy hit. For 4 years I received harassing foreclosure letters and calls until finally the house went into short sale through my lawyer. But it still took Seterus a year to put it through. I still have ALL the paperwork,emails and text messages from my realtor and lawyer.
So. YES, PLEASE MOST DEFINITELY INCLUDE ME IN THIS ACTON.
They royally screwed me over in fees and errors and my mortgage amount never went down. I need this investigation done
add me please
What was unlawful about the debt collections