- Who sends it
- The trustee, by first class mail and by certified or registered mail, to every known address
- What it starts
- 90 days for the trustee to pay out the money or deposit it with the county treasurer and open a court case
- Do this first
- Call the trustee to ask whether it will pay directly or deposit with the county treasurer, and give it your current address
What this notice is in Arizona
Ariz. Rev. Stat. § 33-812 sets the order of payment after a trustee's sale: the costs of the sale and trustee and attorney fees, the loan being foreclosed, other amounts the lender paid under the deed of trust, a condominium or planned community association with a lower priority lien, then junior lienholders in order of priority. What is left goes to you, or to the owner of record at the time of the sale if you had transferred the home.
If money remains after the first three steps, the trustee must mail a notice of excess proceeds within 15 days after the sale to the trustor as of the date the notice of sale was recorded (Ariz. Rev. Stat. § 33-812(B)).
Two ways the money can be handled
- The trustee pays it out directly in the order the law sets.
- Or the trustee deposits it with the county treasurer and files a case in superior court naming the treasurer. The trustee must mail you a filed copy of that complaint, along with a list of the people it was mailed to and a description of the liens it found.
- Either way, the trustee must act within 90 days after the sale. A trustee who misses that deadline loses its fees for this step, owes interest, and can be sued (Ariz. Rev. Stat. § 33-812(K)).
How to claim money on deposit, and the deadlines
- File an application for distribution in the trustee's court case (Ariz. Rev. Stat. § 33-812(G)).
- Within 3 business days after filing, mail a copy by a kind of mail that returns a signed receipt to the county treasurer and to everyone on the trustee's list, then file an affidavit of mailing with the receipts or returned envelopes.
- Others have 45 days from the latest mailing to respond. You then have 10 calendar days from the date a response is mailed to file a reply.
- If no one with a better claim responds, the court orders the treasurer to pay you. The treasurer may keep a fee of up to $100. If there are competing claims, the court must hold a hearing.
- Do not wait. Money left with the treasurer for 2 years with no pending application is presumed abandoned. Amounts over $50 go to the Arizona Department of Revenue's unclaimed property program, where filing a claim is free; amounts of $50 or less go to the county for good. See Arizona foreclosure surplus funds.
What to do this week
- Keep the notice and envelope, and write down the sale date.
- Call the trustee and ask how much is left over, who else has claimed it, and whether it will pay or deposit the money.
- Gather proof of who you are and that you owned the home at the sale.
- If a junior lender or your HOA claims the money, you can ask the court to make it prove its claim. Legal aid through AZLawHelp.org or 866-637-5341 can help with the court papers.
- Read our national surplus funds notice page.
Limits on surplus recovery companies
Once a sale is public, companies may offer to recover your money for a share. Under Ariz. Rev. Stat. § 33-812(P), an agreement to pay someone to recover money on deposit with the treasurer must be in writing, signed by you and notarized. Any agreement signed in the first 30 days after the sale, not counting the sale day, is void. A fee over $2,500, not counting attorney fees and filing and notice costs, is presumed unreasonable and cannot be enforced unless a court approves it. You can file the application yourself.
The rest of the Arizona process
See how foreclosure works in Arizona, the timeline, ways to stop it and free help in Arizona, or read the national guide to this letter.
Common questions
How long does an Arizona trustee have to tell me about excess proceeds?
The trustee must mail the notice within 15 days after the sale, by first class mail and by certified or registered mail to all known addresses, under Ariz. Rev. Stat. § 33-812(B).
How long do I have to claim Arizona excess proceeds?
If the money is deposited with the county treasurer, apply before 2 years pass with no pending application, because it is then presumed abandoned. Amounts over $50 are then reported to the Arizona Department of Revenue, where you can still file a free claim.
Can a company charge me a percentage to get my Arizona surplus?
For money on deposit with the county treasurer, an agreement signed within 30 days after the sale is void, and a fee over $2,500 (not counting attorney fees and filing and notice costs) is presumed unreasonable unless a court approves it, under Ariz. Rev. Stat. § 33-812(P).
Other Arizona letters
- Notice of Trustee's SaleIn Arizona, the Notice of Trustee's Sale is the paper that starts most home foreclosures. The trustee records it, mails it to you with a statement of breach, posts it and publishes it, and the auction cannot be held before the 91st day after recording. You can still reinstate until 5:00 p.m. on the last day before the sale that is not a Saturday or legal holiday.
- Trustee's Deed Upon SaleThe Trustee's Deed Upon Sale transfers your home to the winning bidder at an Arizona trustee's sale. Arizona law says this deed is absolute, without any right of redemption, so you cannot buy the home back by paying later. Your remaining issues are when you must leave, whether money is left over for you, and whether you could owe a deficiency.
- Written demand for possessionAfter an Arizona trustee's sale, the new owner must give you a written demand for possession before it can go to court to remove you. It is a demand, not a court order. If you stay after receiving it, the buyer can file a forcible detainer case, which moves very fast.
- Forcible detainer summons and complaintA forcible detainer case is the court case an Arizona buyer files to remove you after a trustee's sale. The summons must be served at least 2 days before the court date, and the only question is who has the right to possession. If the buyer wins, the court cannot issue a writ of restitution until 5 calendar days after judgment.