PHH Settlement Offers $875 Payouts to Resolve Class Action Over Alleged Mortgage Insurance Kickbacks

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PHH Corp. will offer cash payments of $875 to settle a class action lawsuit that alleged the company overcharged consumers for mortgage insurance under the guise of reinsurance agreements with PHH affiliate Atrium.

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The PHH Corp. class action settlement received preliminary approval from the court on August 11, 2025 and covers anyone who obtained a residential mortgage loan originated and/or acquired by PHH and/or its affiliates between January 1, 2007 and December 31, 2009, who subsequently purchased private mortgage insurance and whose loans were included in PHH’s captive mortgage reinsurance agreements. The PHH Corp. settlement class also includes the successors, heirs and/or assigns of the original borrowers.

The court-approved website for the PPH settlement can be found at PHHMISettlement.com.

PHH Corp. settlement class members who submit a timely, valid claim form will be able to receive a cash payment of $875 via mailed check. Class members who are co-borrowers will receive just the one cash payment, the settlement website specifies.

To submit a claim form online, class members can visit this page of the settlement website and log in with the unique ID and PIN found in their copy of the settlement notice.

Alternatively, a PDF of the claim form is available to print, fill out and mail back to the address listed at the top of the form.

All claim forms must be submitted online or postmarked by August 11, 2026.

A hearing is scheduled for December 17, 2025 to determine whether the PHH Corp. class action settlement will receive final approval from the court. Payments will begin to be distributed to eligible class members only after final approval has been granted and any appeals have been resolved.

The PHH Corp. class action lawsuit claimed that the company required certain borrowers to pay premiums for private mortgage insurance, with mortgage insurers then entering into reinsurance agreements with Atrium. The plaintiffs alleged that Atrium assumed no real, or at least an insufficient amount, of risk on the mortgages at issues, meaning the reinsurance arrangements were merely kickbacks to PHH in exchange for business referrals to the mortgage insurers.

 As a result, class members overpaid for mortgage insurance, the class action lawsuit alleged.

Are you owed unclaimed settlement money? Check out our class action rebates page full of open class action settlements.