Frequently asked questions

When a foreclosed property is sold at auction for more than what's owed (mortgage balance, taxes, court costs, attorney fees), the excess is called surplus funds. By law, this money belongs to the former owner — not the bank that foreclosed. It sits in a court or county escrow account until someone files a claim for it.

It's 100% real and governed by state law. Billions of dollars sit in court escrow accounts across the US every year. The reason most former owners don't claim it: courts don't proactively notify you, and the paperwork is intimidating. Our platform makes that paperwork manageable.

It varies wildly by market and time period. Median surplus on a 2023–2024 foreclosure in our system is around $35,000–$80,000, with larger metro-area claims often exceeding $150,000. Your specific case depends on what your property sold for vs. what was owed.

Courts hold surplus funds as a neutral party because multiple parties can have legitimate claims (junior lienholders, HOAs, contractors with mechanic's liens, the former owner). A claim filing forces the court to verify your priority and disburse to the rightful party. Without a filing, the money simply sits there.

Two ways: (1) Call your county clerk's office and ask whether surplus exists for your foreclosure case. (2) Upload your foreclosure documents to our platform — our AI extracts your sale price and debt amount and tells you whether surplus likely exists. Both are free.

Deadlines vary by state: 1 year in Florida and Georgia, 2 years in Texas, 3 years in California, Illinois, Arizona, 5 years in New York (then funds transfer to the State Comptroller), 10 years in New Jersey. Some states (like Pennsylvania and North Carolina) don't have a fixed deadline but expect "reasonable" timing. Our State Coverage page has the full breakdown.

Probably not. Most states give multi-year windows. Even after the deadline, funds that have escheated (transferred) to state treasuries can sometimes still be recovered through the state's unclaimed property division — slower and more paperwork, but possible. Start your case in our platform and we'll tell you exactly where you stand.

Yes. In most states, heirs or court-appointed estate representatives can file. You'll need additional documentation — typically the death certificate and letters of administration or letters testamentary. Our wizard will tell you exactly what your state requires.

Multiple parties can file competing claims. The court determines priority based on a legal hierarchy: senior liens → junior liens (HOA, second mortgage, mechanic's liens) → former owner. Most cases aren't contested — but if yours is, the court will hold a hearing. If your case looks like it may be contested, we recommend consulting a licensed attorney in your state.

Typically: your foreclosure notice, the sheriff's deed or trustee's deed (showing the sale), proof of original ownership, and government-issued ID. Specific requirements vary by state. Don't have a document? Our platform tells you exactly where to request it.

When you upload a PDF, our document AI reads the file and pulls out key fields automatically: docket number, parties, foreclosure judgment amount, sale price, court name, case number. You verify the extracted data on the next screen and edit anything that's wrong. This saves about 30–45 minutes of manual data entry per case.

On our side: About 20–30 minutes to upload, verify, and review your filing packet. On the court's side: 30–120 days from filing to disbursement, depending on the county and whether any party contests the claim. New Jersey is typically faster (30–60 days), Florida and California tend to take 60–120.

Yes. Once you create an account, every step is autosaved. Come back any time from any device. Documents stay encrypted in your account until you delete them.

Free — extract your documents, see your state's instructions, and file entirely on your own. Court-ready packet — $500 once, or $42/mo (12 payments, $504 total, then it's paid off and the plan stops). The packet is the same either way: your full auto-generated, court-formatted filing, ready to submit. Your packet unlocks as soon as your first payment goes through. See the full breakdown on the Pricing page.

Yes. Every county charges a filing fee paid directly to the court: roughly $250 in Texas, $300 in NJ/NC, $435 in California, etc. We list the exact amount for every state on the State Coverage page. These go to the court — not to us — so we can't waive them.

Because the work to prepare a $5k claim is the same as a $500k claim — and percentage pricing penalizes the people who deserve the most relief. A typical recovery firm taking 33% on a $100k surplus would charge $33,000 for paperwork that takes us about 4 minutes of compute time. We think that's wrong.

If your filing isn't accepted on first submission because of an error on our end, we'll generate a corrected filing at no extra cost.

No. Surplus Funds Pro is a document-preparation technology platform — like TurboTax for surplus funds. We generate forms based on your inputs and your state's requirements. We don't represent you, we don't appear in court for you, and nothing in our platform constitutes legal advice. For specific legal questions, consult a licensed attorney in your state.

Most states allow individuals to file surplus claims pro se (representing themselves), and most uncontested claims don't require a lawyer. That said: if your case involves competing claims, multiple lienholders, an estate, or amounts over $250k, we strongly recommend consulting an attorney. For those higher-stakes situations, we recommend having a licensed attorney in your state review your filing before you submit.

Yes. All documents are encrypted in transit (TLS 1.3) and at rest (AES-256). We're on SOC 2-compliant infrastructure. We don't sell or share your data with third parties. You can delete your account and all uploaded documents at any time from Settings.

No. Surplus Funds Pro is an independent technology platform. We are not affiliated with, endorsed by, or connected to any court, county clerk, state treasury, or law enforcement agency. Be careful of services that imply they are — that's a common scam pattern.

Red flags: anyone asking for your bank login or full SSN before any service is rendered; promises of "guaranteed" recovery; firms that demand large upfront fees or take 40%+ contingency; services that claim affiliation with a government agency. Legitimate services charge clear, disclosed fees and never need access to your bank.

Once the court approves your claim, the clerk's office disburses funds — usually by check mailed to the address on your filing, or via wire transfer if you requested it. Larger amounts often come by wire. Allow 7–21 days after court approval for the disbursement.

Generally, surplus funds are not taxable income because they represent your existing equity in the property — not income you earned. But your specific situation may differ (especially if you had a mortgage forgiveness event or insolvency). We recommend talking to a CPA before filing your annual return.

94% of our filings are accepted on first submission. If yours is denied, the court provides a reason — often a missing document or a procedural issue. We'll help you refile at no extra cost.

Yes. Once filed, your dashboard shows every event: filing receipt, court acknowledgment, hearing dates (if any), and final disbursement. We pull updates directly from court e-filing systems where available.