How to claim foreclosure surplus funds in South Carolina

How to claim surplus funds in South Carolina

1. The officer who held the sale keeps the surplus

   From the sale

   The master or court officer pays the costs of the sale and the amounts the judgment ordered paid. Anything left is held by that officer until claims are decided.

   SCRCP 71(b)

2. Watch for the notice of surplus

   When the report of sale is filed

   The officer must send a notice of the surplus to all parties who appeared in the case. Only parties who appeared and filed pleadings get the usual notices, so if you did not answer the lawsuit, check the court file yourself after the sale.

   SCRCP 71(a), (c)

3. File a sworn claim

   Within 45 days after the statement of receipts and disbursements is filed

   File the claim with the master or officer who held the sale, not with the lender. It must be verified or backed by an affidavit and list your name, the nature of your claim, the date it arose, and the amount you claim.

   SCRCP 71(c)

4. Hearing and lienholder priority

   After the 45-day claim period ends

   The master sets a hearing to take proof of the claims. Any party to the case or anyone who had a lien on the home at the time of the sale can claim, and only people who filed on time get notice of the hearing.

   SCRCP 71(c)

5. If no one files a claim

   After the claim period

   If there are no claims, the surplus is paid to the homeowner or lienholder entitled to it. If that person cannot be found, the money is handled as abandoned funds, which can end up with the State Treasurer's unclaimed property program, which you can search for free.

   SCRCP 71(c)

6. Limits on fees to recover unclaimed money

   Once money is turned over to the State Treasurer

   A fee agreement to recover money reported to the State Treasurer is unenforceable if made within 24 months after it was turned over, and charging more than 15 percent of the value returned is a crime. We found no cap on fees for help with surplus still held by the master, so be careful before signing.

   S.C. Code Ann. § 27-18-360

7. Overage after a property tax sale

   Claim within 5 years of a tax sale

   Money left over after a county Delinquent Tax Sale is held by the county delinquent tax collector and follows different rules. See our South Carolina property tax foreclosure page.

   S.C. Code Ann. § 12-51-130

What South Carolina law says about leftover sale money

Common questions in South Carolina