OUR PROCESS
Step 1
After the property has gone through the foreclosure sale, State Surplus Recovery has identified that the house sold for more money than was owed on it. This extra money belongs to you and your family.
Step 2
Our research team works diligently to check and verify that the funds are currently being held in the court registry. This verification is necessary as a result of the property going through the foreclosure sale.
Step 3
Our SSR agents perform full audits and research for local public records, land records, government databases, we also use skip trace tools to identify you as the rightful claimant for surplus funds.
Step 4
After our free discovery consultation, we discuss the details of the claim. Next, we sign an agreement which allows us to process the claim. We work strictly on a contingency basis which means zero upfront or out-of-pocket cost.
Step 5
Once you’ve signed, we do all the work. Our legal team drafts and files all of the appropriate notices and motions. We coordinate with the attorneys from the other parties involved and set a hearing in front of the judge.
Step 6
Once the judge grants the order and disburses us the funds, we can send you an ACH Wire transfer or overnight you a check.
Ready to get started?
Frequently Asked Questions
Common Questions Answered for your convenience.
What are surplus funds in a foreclosure?
Surplus funds, also referred to as overage or excess funds, are the funds remaining after a mortgage is paid through the final judgment of a foreclosure auction.The trustee appointed in the foreclosure auction is responsible for disbursing the funds without charging additional fees.
I believe I am entitled to surplus funds. What happens next?
If you owned the home prior to the foreclosure and believe you may be entitled to surplus funds, you can locate the trustee soon after the auction takes place. The trustee contact information can be found on the Notice of Trustee Sale. A copy of this notice may be retrieved from the local recorder office if needed. We can assist you in locating this information as well.
Who else gets paid before I can access the surplus funds?
Junior lien holders are paid in their order of seniority before the prior homeowner(s) can receive any remaining monies.
Prior homeowners can dispute lien holders in court. The trustee turns over the funds to the court if a complaint is filed.
How much time do I have to claim surplus funds?
Trustees have 30 days from the auction to notify all interested parties (such as second mortgage holders, tax lien holders, or credit card lien holders) of the possible surplus funds via mail.Interested parties (including you) have 30 days from the notification to assert their claim.
Failure to respond within the 30-day deadline may result in losing rights to funds.
What steps are involved in claiming surplus funds?
Generally, the process involves:
1. Proof of Ownership: Providing documentation such as a copy of the property title.
2. Verification of Surplus Funds: Reviewing foreclosure records and the certificate of disbursements.
3. Contacting the Trustee: Informing the lien holder or bank about your claim.
4. Submitting a Claim: Filing a claim with the trustee and the court.
5. Court Hearings: Attending any necessary hearings or court proceedings.
Q: What documents are needed to claim surplus funds?
A: You will typically need the property title, foreclosure records, and any correspondence such as the Deposit of Surplus Funds letter.
Q: How long does it take to receive surplus funds once a claim is filed?
A: The timeframe can vary, but it generally takes several weeks to a few months to process and disburse the funds.
Is it easy to process a claim for surplus funds?
Every case is different. In some cases, filing the claim does not have to take place immediately.
In other cases, however, filing the claim as soon as possible is crucial. Timing is everything; therefore, contact a real estate attorney who can review each case and determine if the claim should be filed sooner rather than later.
You must follow specific steps to claim the surplus funds. If you fail to follow those steps, then the surplus funds will be either abandoned or remain with the State.
What happens to surplus funds if they go unclaimed?
If surplus funds are not claimed within a certain period, they may be transferred to the court or escheat to the state.