Brown v. Star 214 - Statebridge Mortgage Settlement

What happened

Statebridge, a mortgage loan servicer, allegedly assessed late fees, default-related fees, and interest charges on junior-lien mortgage loans secured by primary residences for time periods when borrowers did not receive monthly mortgage statements, and in some cases improperly charged interest on loans that were previously charged off or had prior representations of 0% interest.

Do you qualify?

You qualify if you are a borrower of a junior-lien mortgage loan on your primary residence that was actively serviced by Statebridge as of May 14, 2025, and received correspondence between November 2, 2023 and May 14, 2025 that included fees or interest charges assessed during periods when you did not receive monthly statements. Specific subclasses apply based on loan status and charge-off history.

What you can claim

Read from the official settlement notice. Confirm the terms that apply to you on the administrator's site before filing.

• Monetary payment

  Settlement payment provided to class members who remain in the class and for whom the Court approves the Settlement.

• Removal of interest charges

  Removal of certain interest charges from class member's loan as part of the settlement.

• Loss mitigation options

  Ability to participate in loss mitigation options as part of the settlement relief.

Who is in the class

All natural persons within the United States and its territories who are obligors of a junior-lien mortgage loan secured by their primary residence, which loan was, as of May 14, 2025, actively serviced by Statebridge, and was more than 30 days past due at the time Statebridge began servicing the loan, in connection with which loan Statebridge sent correspondence between November 2, 2023 through May 14, 2025 that reflected an amount due that included late fees, default-related fees, or interest, which were assessed for time periods when the loan was charged off and the person did not receive monthly mortgage statements (Statutory Damages Class); natural persons within the United States and its territories who are obligors of a junior-lien mortgage loan secured by their primary residence, which loan was, as of May 14, 2025, owned by a CAMG Entity, was previously charged off, and is actively serviced by Statebridge, and for which, prior to October 19, 2017, either 1) a prior servicer sent statements charging 0% interest, 2) the prior servicer did not send statements because the loan was charged off, and/or 3) Veripro previously serviced the loan and represented that interest would not be charged, and for which Statebridge sent correspondence between November 2, 2023 through May 14, 2025, that assessed interest for time periods prior to October 19, 2017 (CAMG Additional Remediation Subclass); natural persons within the United States and its territories who are obligors of a junior-lien mortgage loan secured by their primary residence, which loan was, as of May 14, 2025, owned by an Owner Entity and actively serviced by Statebridge, in connection with which loan Statebridge sent correspondence between November 2, 2023 through May 14, 2025 that reflected an amount due that included interest assessed for time periods when the person did not receive monthly mortgage statements, and which loan is not part of the Performing Loan Settlement Subclass (Owner Entity Defaulted Loan Modification Subclass); and natural persons within the United States and its territories who are obligors of a junior-lien mortgage loan secured by their primary residence, which loan was, as of May 14, 2025, owned by an Owner Entity and actively serviced by Statebridge, which loan (i) was less than 30 days past due as of May 14, 2025, or (ii) had made a full monthly payment in at least four of the six months preceding May 14, 2025, and in connection with which loan Statebridge sent correspondence between November 2, 2023 through May 14, 2025 that reflected an amount due that included interest assessed for time periods when the person did not receive monthly mortgage statements (Owner Entity Performing Loan Settlement Subclass).

Quoted from the settlement notice.

How to file

If you do nothing, you will automatically receive settlement benefits including a monetary payment, removal of certain interest charges from your loan, and access to loss mitigation options. To exclude yourself from the settlement, submit an opt-out request online or in writing to the Settlement Administrator by April 7, 2026. To object to the settlement, write to the Court by April 7, 2026.