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Nationstar Mortgage $10,550,000 ACH Settlement: Key Details

Settlement reached in ACH loan payment class action lawsuit against ACI and Nationstar, providing monetary compensation and non-monetary relief worth $10M.

Nationstar Mortgage $10,550,000 ACH Settlement: Key Details
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Settlement Terms

  • Status:
    Closed
  • Award:
    Up to $2,500
  • Is Proof Required?
    Yes
  • Claim Deadline:
    November 13, 2023
    Not Set
  • Days Left to File Claim:
    0
  • Settlement Amount:
    $10,550,000
  • Final Approval:
    May 31, 2023
Settlement summaries by Claim Depot are written for people who might be eligible to claim class action settlement awards. Our goal is to provide the reader all relevant information about the settlement so they can claim their lawsuit funds. Claim Depot uses artificial intelligence (AI) to extract data from the vast amounts of text on the Official Settlement Website and in the court documents. Then, our writers, who are licensed attorneys, write the summary in plain English so the greater public can better understand their rights.

A class action lawsuit involving ACI Payments, Inc., ACI Worldwide Corp., ACI Worldwide, Inc. (collectively “ACI”), and Nationstar Mortgage LLC d/b/a Mr. Cooper Group (“Nationstar”) has reached a settlement agreement. The lawsuit is related to incorrect Automated Clearing House (ACH) debit and credit entries that affected around 480,000 accounts nationwide.

How Much Is at Stake in the Settlement?

The settlement agreement consists of three separate payments made by ACI: Funds A, B, and C. These funds cover all claims as well as attorneys' fees and costs, service awards to Class Representatives, costs of administration of the settlement, reimbursement for previously unreimbursed actual damages, and non-monetary relief valued at $10.55 million.

  • Fund A Claims: ACI will set aside $5 million to pay all claims associated with the Settlement. Each Settlement Class Member who submits a Claim Form may receive $100 unless they were previously paid by ACI or Nationstar as part of an overpayment. The amount paid may increase or decrease pro rata depending on approved claims.
  • Fund B Claims: ACI will set aside $1 million to pay claims submitted by Settlement Class Members who can prove that they suffered unreimbursed actual damages due to the Incident.
  • Fund C Claims: ACI has agreed to pay up to an additional $500,000 based on participation rates of Settlement Class Members who file claims within Fund A.

What Are Some Important Dates?

There are several important dates to be aware of in this settlement:

  • Claim Deadline: Settlement Class Members must submit a claim using a Claim Form by November 13, 2023, to receive benefits under the Settlement.
  • Exclusion Deadline: Those who wish to exclude themselves from the Settlement and retain their right to sue the Defendants over the claims being resolved by this Settlement must do so by April 29, 2023.
  • Objection Deadline: To object to the Settlement, Class Members must submit their written objection by April 29, 2023.
  • Fairness Hearing: The Court will hold a Final Approval and Fairness Hearing on May 31, 2023 at Hiram H. Ward Federal Building and U.S. Courthouse in Winston Salem, NC. The purpose of this hearing is for the Court to determine whether the proposed Settlement is fair, reasonable, and adequate and in the best interests of the Settlement Class.

Who Are Considered Class Members?

The Court has certified a Settlement Class consisting of all people who meet the following definition:

All persons throughout the United States whose mortgages were or are serviced by Nationstar Mortgage LLC (Nationstar) and who were subjected to incorrect ACH debit or credit entries between April 23-26, 2021 (the Incident).

What Can Class Members Expect as an Award?

To obtain monetary compensation from Funds A or B as well as non-monetary relief under Fund C, eligible class members must submit a claim form.

In addition to monetary compensation from these funds, Defendants will forgive and waive any entitlement that they may have to recover from the Settlement Class approximately $2.86 million in overpayments made by ACI to around 1,200 Settlement Class Members and approximately $190,000 in damages payments made by Nationstar to Settlement Class Members.

Furthermore, ACI has agreed to provide non-monetary relief valued at $1 million by implementing changes in its business practices so as to prevent similar ACH incidents from occurring in the future.

To submit a claim for benefits under this settlement agreement and for more details about the process and requirements for filing a claim form or objecting/excluding oneself from the settlement class, visit the official settlement website at https://achloanpaymentlitigation.com/.

Case Facts

  • Case Number:
    1:21-cv-00341
  • Filing Date:
    April 30, 2021
  • Jurisdiction:
    U.S. District Courts
  • State:
    North Carolina
  • Court:
    North Carolina Middle District
  • Plaintiff:
    David Dugan
  • Defendant:
    Nationstar Mortgage LLC
  • Plaintiff Firm:
    Whitfield Bryson LLP
  • Claims Admin:
    ACH Litigation Settlement Administrator 1650 Arch Street, Suite 2210 Philadelphia, PA 19103
  • Defendant Firm:
    McGuireWoods, LLP
Contributors
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Will Gendron
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Settlement Agreement

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Settlement Agreement

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