California Says Administrator Will Begin Foreclosure Refunds

A national administrator will begin processing refunds for California borrowers who lost their homes to foreclosure as part of a $25 billion nationwide mortgage- foreclosure settlement.

Claim forms will be sent to about 432,584 California borrowers whose homes were foreclosed from Jan. 1, 2008, to Dec. 31, 2011, and may be eligible for a settlement payment, California Attorney General Kamala Harris said today in an e- mailed statement.

The national settlement administrator mailed notification postcards to eligible borrowers last week, Harris said. The deadline for all claims is Jan. 18.

The refunds stem from the $25 billion settlement that Harris and officials with 48 other states reached with Bank of America Corp., JPMorgan Chase & Co. (JPM), Wells Fargo & Co. (WFC), Citigroup Inc. (C) and Ally Financial Inc. (ALLY) to end a probe of abusive foreclosure practices stemming from the collapse of the housing bubble.

To contact the reporter on this story: Joel Rosenblatt in San Francisco at

To contact the editor responsible for this story: Michael Hytha at

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.