Class Action Lawsuit Claims Ocwen Improperly Foreclosed On Mortgagees

(July 25, 2018, 4:50 PM EDT) — Ocwen Loan Servicing LLC has been filing foreclosure actions against its mortgagees before either applying or refunding unapplied funds on their accounts, according to a proposed class action made available Tuesday in Illinois state court.

The lawsuit launched by Cook County resident Jose Parra claims a provision of the uniform covenants in their contracts with the Florida-based mortgage loan servicer requires the company to either apply those unapplied funds immediately before foreclosure or return that money to the borrowers.

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