How to Claim Kentucky Commissioners’ Foreclosure Surplus Funds
If your home was sold at a Master Commissioner’s auction for more than your mortgage debt, you may be owed money. The amount left over after a foreclosure sale is often called the surplus funds, unclaimed funds or excess proceeds. If you need to claim Kentucky Commissioner foreclosure surplus funds, you must file a motion to receive them. These funds are the amount left after the creditors are paid.
Aggressive “overage refund” companies monitor Kentucky court dockets to find these funds. They will call and text people who lost their homes to foreclosure. They promise to recover your money. But they charge and often hide 50% to 75% in fees in their contracts. Because they are not attorneys, they cannot represent you in court or file legal motions. They may hire an attorney to appear in court. If the money is sent to the Kentucky Treasurer, they will apply for it. They use a power of attorney that you sign to get these funds. They may never give you the funds after they receive them.
Nick Thompson is a licensed Kentucky foreclosure defense attorney. My law firm will handle your recovery of surplus funds in court as part of the foreclosure process. We protect your rights, deal directly with the Circuit Court and the Commissioner, and charge a fraction of what third-party agencies charge. Here is exactly how our legal recovery process works:
Review the Master Commissioner Record for unclaimed funds
You do not have to guess if you are owed money. We pull the final Report of Sale from the Master Commissioner and your final judgment amount. We will tell you exactly how much excess money is sitting in the court’s registry, completely free of charge. You can call the commissioner, but until he is finished paying all of the claims after the sale, the final amount is not known. This will take several months, but it will happen. You can call to find out if funds remain after he pays off creditors. Again this is often months after the property has been sold..
If the money is not claimed shortly after the sale, it will be sent to the Kentucky State Treasurer. It is easier to get this money when the Commissioner holds it. Eventually, the money will belong to the state of Kentucky if it is never claimed.
Get a clear Transparent Legal Agreement to limit the fees you are charged
If you have a claim, we will provide a clear, easy-to-read legal representation agreement. We can work on a flat fee or a contingency basis. Our attorney fees are regulated and much lower than the high fees charged by non-lawyer agencies. You usually pay for a few hours or days of an attorney’s time. If the amount is large, you keep most of your equity.
File the Court Motion to recover your Commisioner held surplus funds
Non-lawyer agencies just mail you paperwork and hope the court accepts it. We actually practice law. We will draft and file the formal legal motions required by Kentucky civil rules to petition the Circuit Court judge to release your funds. If a second mortgage company or a judgment lienholder tries to claim your money, we are fully equipped to dispute their claims in court.
Court-Ordered Unclaimed funds Disbursements
Once the judge signs the order, the Master Commissioner releases the funds safely and legally. We make sure the check is processed correctly and paid to you directly. This closes this part of your foreclosure. You can move forward financially.
Why Hire a Kentucky Attorney Instead of a “Surplus Funds Agency”
| Feature | Non-Lawyer Overage Agencies | A Foreclosure Defense Firm or Attorney |
| Average Fees | The usually charge 50% to 75% of your unclaimed funds | Generally, attorneys charge a lower hourly fee or a 25% contingency fee, which is cheaper. The attorney’s work can often recover more money and do so more effectively. |
| Legal Representation | None. Only a licensed attorney can represent you in court. An agency cannot file motions or give legal advice. | A licensed Kentucky Attorney can ask for hearings, represent you in court, and file motions to obtain your funds. |
| Lien Disputes | An agency cannot defend you from other creditors who file motions to take your money for their claims. | We actively dispute invalid liens. |
| Court Access | All an agency will do is mail generic forms you often sign to the clerk. These forms will often never be accepted by the court | Files formal motions directly with the Judge. |
Don’t sign away your home’s equity to an out-of-state call center.
If your home was recently sold in Kentucky and you have checked and found that there are surplus funds contact us today. We can help you learn if you have unclaimed surplus funds held by the Master Commissioner in the court registry. Our office practices before the Jefferson County Master Commisioner and nearby counties. We can handle these foreclosure unclaimed funds matters statewide.