What is Surplus Money?
When a house is sold through foreclosure, it is sold to the highest bidder at public auction. If it sells for more than you owe the foreclosing bank, there may be money left over after the bank is paid. This surplus money belongs to you, the homeowner, with some exceptions. Within 5 days of the sale, the referee (i.e., the Court appointed attorney who sold the property) must submit the remaining money to the Court. However, no one will send this money to you without your asking. You must act, or you will receive nothing.
