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Shellpoint Mortgage Servicing LPI Settlement

Settlement Structure: Claims Made

Active: Closed

Closed Settlement Statement:

According to court documents, the claim submission deadline has passed. Please contact the claims administrator if you have any questions.

Case Summary:

New Penn Financial, LLC, which does business as Shellpoint Mortgage Servicing, has elected to settle a class action on the subject of LPI. LPI, or lender-placed insurance, is hazard, flood, or wind insurance placed on a borrower’s property to protect the value of the property when the borrower’s own policy lapses or when the borrower does not maintain adequate insurance. The complaint alleged that Shellpoint placed LPI policies in a manner that allowed it to receive kickbacks, or unauthorized benefits, from Overby-Seawell Company, causing the rates for the policies to be excessive.

Docket Number:

9:18-cv-80948-RLR

Company: NewRez LLC

Filing Deadline: November 12, 2019

Class Period: March 1, 2014 to April 4, 2019

Objection Deadline: August 14, 2019

Exclusion Deadline: August 14, 2019

Final Approval Hearing: September 13, 2019

Proof of Purchase:

You do not need to provide proof of your Shellpoint mortgage or LPI, but you do need to provide proof of your identity.

Eligibility:

You may be eligible if you are a borrower in the US who, between March 1, 2014 and April 4, 2019, were charged by Shellpoint for a hazard, flood, or wind LPI procured by Overby-Seawell Company, and who (a) paid Shellpoint the net premium for the policy, (b) did not pay Shellpoint the net premium and still owe it. 

You are not eligible if your LPI policy was cancelled in its entirety and any premiums charged or collected were fully refunded to you or your escrow account or if you have a final foreclosure judgment foreclosing on the Shellpoint loan. 

Typical Settlement Amount:

Cash or account credit of 8.875% of the LPI net premium charged to you by Shellpoint during the class period.

Total Settlement Amount: Unknown

Class Representative Proposed Incentive Fee:

$5,000

Law Firm:
Moskowitz Law Firm PLLC

Claim Form: Shellpoint Mortgage Servicing LPI Settlement Claim Form

Case Name: Dorothy Kerr Checa Chong v. New Penn Financial, LLC, d/b/a Shellpoint Mortgage Servicing

Settlement Website: Shellpoint Mortgage Servicing LPI Settlement Website

Claims Administrator:
KCC Class Action Services, LLC

Claims Administrator Contact Information:

Chong v. Shellpoint Settlement Administrator
c/o KCC Class Action Services LLC
P.O. Box 404041
Louisville, KY 40233-4041
866-579-5212

Tags: Forced Placed Insurance, Kickbacks, Mortgage-Related Unfair Practices