In a deal meant to settle allegations of improprieties in foreclosure processing procedures, five of the nation’s largest mortgage lenders reached a $26 billion dollar settlement, announced on Feb. 9.

The deal includes the United States Justice Department, Urban Housing and Development and the Attorneys General of 49 states – all but Oklahoma are included on the settlement, which will go to homeowners who were foreclosed on as well as toward reduction in principal balances for other homeowners.

The settlement affects those whose mortgages are held by Bank of America, Citi, Wells Fargo, JP Morgan Chase and Ally. Over the next six to nine months, borrowers eligible for relief in the form of settlement funds will be notified via mail. The expected borrowers affected will be those who lost their homes to foreclosure; borrowers who are current on payments but owe more than their homes are worth; and borrowers who need loan modifications in order to stay in their homes.

The settlement funds are expected to be paid out over a three-year period. For more information, visit: www.nationalmortgagesettlement.com