Goldman Sachs and Morgan Stanley borrowers’ foreclosure settlement checks are in the mail. According to the Federal Reserve, payments went out today to more than 220,000 borrowers who had mortgages in “any stage of the foreclosure process in 2009 and 2010” that were serviced by several of these lenders’ subsidiaries. Payment amounts were determined based on how borrowers were categorized based on the stage of their foreclosure and the type of servicer error, if any. The Fed added that amounts sent out to Morgan Stanley and Goldman Sachs borrowers may differ from those sent to other borrowers in similar situations because these two lenders did not allow borrowers to request a review of their foreclosure file.
by Carole VanSickle