What Is a Certificate of Disbursements in Florida Foreclosure Surplus Cases?

Short answer

A certificate of disbursements is a document prepared by the clerk of court after a Florida judicial foreclosure sale, listing how the sale proceeds will be distributed—including any surplus. It is essential because it determines who may claim surplus funds and in what order, directly affecting whether and how a former homeowner can recover money left over after the foreclosure sale.

Why it matters

Understanding the certificate of disbursements is crucial for anyone who has lost a home to foreclosure in Florida:

• Determines who gets paid: The certificate sets out the order in which the clerk of the circuit court will pay out the proceeds from the foreclosure sale, including any surplus.
• Affects your ability to claim surplus: If there is money left after the amounts in the final judgment and any subordinate lienholders are paid, the certificate documents how much is available for the former owner to claim.
• Prevents missed opportunities: Not understanding the certificate can lead to missed deadlines or confusion about who is eligible to claim surplus funds.
• Ensures compliance: Florida is a judicial foreclosure state, so the process is governed by court orders and strict statutory rules. The certificate of disbursements is a key part of this process.

Steps

If you are a former homeowner seeking to understand or claim a foreclosure surplus in Florida, here’s how the process typically works:

Foreclosure judgment and sale Florida uses a judicial foreclosure process. The court enters a final judgment of foreclosure, specifying the amounts owed. The clerk of the circuit court conducts the foreclosure sale. Deposit of sale proceeds All proceeds from the sale are deposited into the court registry, held by the clerk of court—not the lender or their attorney. Preparation of the certificate of disbursements After the sale, the clerk prepares a certificate of disbursements. This document lists: Amounts to be paid as directed by the final judgment (usually to the lender) Any subordinate lienholders who have filed timely claims The remaining surplus, if any, available to the owner of record as of the date the lis pendens was filed Distribution of funds The clerk pays out funds in this order: Amounts in the final judgment Subordinate lienholders who filed timely claims The owner of record as of the date the lis pendens was filed Claiming the surplus If you are the former owner, you may file a claim for the surplus directly with the clerk of court. You do not need a lawyer or anyone else to do this. If more than one year passes after the sale and the surplus remains unclaimed, the clerk sends the funds to the Florida Department of Financial Services as unclaimed property. At that point, only the owner of record or the beneficiary of a deceased owner may claim the funds from the Department.

Example

Example (for illustration only):

Suppose a Florida home is sold at a judicial foreclosure sale for $300,000. The final judgment entered by the court orders the clerk of court to pay $250,000 to the lender. There is also a subordinate lienholder who filed a timely claim for $20,000. The certificate of disbursements prepared by the clerk would show:

• $250,000 to the lender (per the final judgment)
• $20,000 to the subordinate lienholder
• $30,000 surplus remaining

The $30,000 surplus is available for the owner of record as of the date the lis pendens was filed to claim. If the surplus is not claimed within one year after the sale, the clerk sends it to the Florida Department of Financial Services as unclaimed property. Only the owner of record or the beneficiary of a deceased owner may claim it from the Department.

Note: Tax-deed surplus is a separate process not covered on this page.

Common pitfalls

• Assuming the lender or their attorney holds the surplus: In Florida, only the clerk of court holds the surplus funds after a judicial foreclosure sale.
• Missing the distribution order: Not understanding that subordinate lienholders who file timely claims are paid before the former owner can lead to confusion or disappointment.
• Waiting too long to claim: If the surplus is not claimed within one year, it is sent to the Florida Department of Financial Services as unclaimed property. The money is not lost, but the process to claim it changes.
• Confusing foreclosure surplus with tax-deed surplus: These are different processes with different rules and deadlines.
• Assigning rights without understanding limits: If you assign your right to surplus to a recovery company or other assignee, Florida law caps total compensation for an assignment at 12 percent of the surplus.

Summary

• Florida is a judicial foreclosure state; the court enters a final judgment and the clerk of the circuit court conducts the sale.
• The certificate of disbursements, prepared by the clerk of court, lists how sale proceeds—including any surplus—will be distributed.
• Surplus funds are paid first to amounts in the final judgment, then to subordinate lienholders who filed timely claims, then to the owner of record as of the date the lis pendens was filed.
• One year after the sale, any surplus still held by the clerk is sent to the Florida Department of Financial Services as unclaimed property. Only the owner of record or the beneficiary of a deceased owner may claim it from the Department.
• Next steps: Review the certificate of disbursements from your foreclosure case and, if you believe you may be entitled to surplus, contact the clerk of court to learn how to file a claim. If the surplus has already been sent to the Department of Financial Services, you may wish to seek guidance on making a claim there.

This page provides general information and does not create an attorney-client relationship.

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Important information

Attorney advertising. Responsible attorney: Christian Cruz, Esq. Office: CRUZ LAW FIRM, 160 W Camino Real, 589, Boca Raton, FL, 33432.

Florida law does not require you to hire a lawyer or anyone else to claim foreclosure surplus funds. A former owner may file a claim with the clerk of court directly, and does not have to assign their rights to anyone to do so.

This page is general information about Florida law, not legal advice. Reading it does not create an attorney-client relationship, and no such relationship is formed until we have a signed written agreement.

Fee arrangements depend on the posture of the matter and are set out in a written agreement before any work begins. We are glad to explain how fees would work in your situation when we speak.

FAQ

Who prepares the certificate of disbursements in a Florida foreclosure?

The clerk of the circuit court prepares the certificate of disbursements after a judicial foreclosure sale in Florida.

What does the certificate of disbursements show?

It shows how the proceeds from the foreclosure sale will be distributed, including payments to the lender, any subordinate lienholders who filed timely claims, and any surplus available to the former owner.

What happens if surplus funds are not claimed within one year?

If surplus funds remain unclaimed one year after the sale, the clerk sends them to the Florida Department of Financial Services as unclaimed property. The money is not lost, but only the owner of record or the beneficiary of a deceased owner may claim it from the Department.

Do I need a lawyer to claim a foreclosure surplus in Florida?

No, Florida law allows the former owner to claim surplus funds directly from the clerk of court without a lawyer.

Is the process for tax-deed surplus the same as for foreclosure surplus?

No, tax-deed surplus is a separate process with different rules and is not covered on this page.