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$850,000 in reimbursements to affected Oregonians through multiyear mortgage servicer investigation

December 10, 2020

Salem — The Oregon Division of Financial Regulation, working with state and federal partners, closed a multiyear investigation on Nationstar Mortgage LLC. Nationstar, doing business as Mr. Cooper, violated several mortgage origination and servicing-related state and federal laws.

The violations affected more than 115,000 people nationwide, and 601 Oregonians. Violations included charging illegal fees, missed tax payments from escrow accounts, failure to terminate private mortgage insurance, mishandling of loan modifications, and wrongful foreclosures.

The order includes repayment of approximately $850,000 to the 601 Oregonians affected by Mr. Cooper’s wrongdoing, and $750,000 in civil penalties to be distributed among participating states and jurisdictions. Oregonians affected by the wrongdoing will be contacted by the settlement administrators about their repayment.

“The collaboration between our state and federal partners is what made this final order possible,” said TK Keen, acting administrator Division of Financial Regulation. “We are glad to bring this to a resolution for all of the victims and especially for the 601 Oregonians who were affected by Mr. Cooper’s illegal practices.”

The coordinated agreement included four main penalties and organizational changes for Mr. Cooper:

  1. Refunds and other repayments of approximately $90 million to more than 115,000 consumers in 53 states and jurisdictions
  2. Civil penalties and government reimbursement of more than $6.5 million
  3. Enhanced servicing standards for three years
  4. Additional regulatory oversight and corporate disclosure to ensure the company maintains adequate risk and compliance programs

The final order resolves all outstanding issues from the coordinated Consumer Financial Protection Bureau and state regulator examinations that began in 2014.

For more information on this settlement agreement, visit State and federal regulators finalize Mr. Cooper misconduct investigation.

For more information on the division’s insurance and financial services enforcement actions, visit its quarterly summaries page – Taking Action.

If you have questions about your specific financial services account, contact the company that handles your account.

If you have questions or need to file a complaint on a financial services company or professional, contact the division’s advocacy team at 888-877-4894 (toll-free) or email dfr.insurancehelp@oregon.gov or dfr.financialserviceshelp@oregon.gov.

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About DCBS: The Department of Consumer and Business Services is Oregon's largest business regulatory and consumer protection agency. For more information, visit  www.dcbs.oregon.gov.  

About Oregon DFR: The Division of Financial Regulation is part of the Department of Consumer and Business Services, Oregon’s largest business regulatory and consumer protection agency. Visit www.dcbs.oregon.gov and http://dfr.oregon.gov/Pages/index.aspx .




​​Media questions​

Mark Peterson
503-947-7868
mark.peterson@oregon.gov​​​​​​​​​​​​​​​

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