In 2011, the United States District Court for the District of Nevada entered a consent decree (a settlement of a lawsuit where a party agrees to take an action without admitting liability) on a this issue.

@Chinmay J. did you review sample settlement statement from both lenders?

Fixed costs like settlement fee for instance dont drop because the property is cheap.

If" you even won a settlement, is it worth spending $10K plus the time and stress associated with it?