Summit Funding, Inc. California Layoffs 2026: What Employees Should Know

What the filing says

These are the details as Summit Funding, Inc. reported them to the state. The EDD publishes every notice, and these figures come from the state's report as retrieved on Sep 10, 2026.

How much notice the law requires

California's WARN Act requires 60 days of advance written notice before a covered mass layoff, and its only statutory exception is a physical calamity or an act of war — far narrower than federal law's three. Who is covered and how the thresholds are counted is in our California WARN Act guide.

Summit Funding severance: what to check before you sign

A severance offer is not the notice pay the WARN Act describes. Severance you were already promised — in a contract, a handbook, or a union agreement — cannot be used to satisfy that obligation, though Labor Code section 1402 does let an employer reduce a back-pay award by voluntary payments it was never required to make. A release may also give up more than you expect. Justin reviews severance agreements before workers sign. What to check before you decide is in our full guide to the California WARN Act.

Two things worth doing this week either way. File for unemployment now — WARN money does not reduce it, and the filings here run through May 17, 2026, so you do not have to wait for your last day. And keep every document, including the notice itself and anything showing when it arrived.

What your notice was required to include

Timing is only half of what Labor Code section 1401 asks for. The notice itself has to contain specific things, and California added most of this list for notices issued on or after January 1, 2026. This notice falls after that date. If you kept your copy, read it against the full six-item checklist in our WARN Act guide — everything federal law requires, whether transition help is being coordinated, working contact details for your workforce board and for the employer itself, and CalFresh information.

Source: Labor Code section 1401, as amended by SB 617, effective January 1, 2026. A notice missing something from that list is not automatically a violation with a remedy attached — whether a gap matters depends on the employer, the action, and what else happened.

Questions people are asking

Where a layoff can raise a legal question

A layoff is lawful on its own, and nothing below is a statement about Summit Funding. These are the places California law can still come into play, depending on the facts of your own situation.

• The severance you were asked to signA release can give up claims you did not know you had, and the terms are sometimes negotiable.
• How you were selectedA reduction in force still cannot be used to cut someone for a protected reason such as age, disability, pregnancy, or a complaint they made.
• Your final paycheckCalifornia sets when final wages are due at termination, and unpaid time or accrued vacation can carry penalties on top of the wages.
• The length of the notice periodWhere a notice period turns out to fall short of what the law required, the question usually belongs to everyone in the same position rather than to one person.

General information about California law, not legal advice, and reading it does not create an attorney-client relationship.

What has been reported

Press coverage of this layoff, summarized and attributed. This is reporting rather than the filing itself, and we did not independently verify it.

HousingWire reported that Summit Funding's WARN filing lists 163 permanent layoffs effective May 17, tied to the Sacramento lender's pending sale to Cleveland-based CrossCountry Mortgage; the company said its Sacramento headquarters will not close. National Mortgage News reported the merger agreement was announced March 18, 2026, one day before the notice.

The cuts fall largely on back-office functions — appraisal, closing, compliance, IT, legal, loan servicing, processing, secondary markets and underwriting — and reach into senior leadership, including the chief information officer, chief operating officer and general counsel, per HousingWire and National Mortgage News.

Sources: HousingWire (opens in a new tab) · National Mortgage News (opens in a new tab) · Abridged (PBS KVIE) (opens in a new tab)

Recent coverage

Coverage of Summit Funding matched by our news monitor. These are the publishers' own reports, not the filing, and we have not independently verified them.

• Summit Funding WARN notice lists 163 layoffs, execs affected (opens in a new tab) — HousingWire, Mar 25, 2026

What the numbers show

• The 163 affected positions are in Sacramento.
• The shortest gap between notice and last day here is 59 days, close to the statewide median of 61 days across every notice on file.
• By headcount it sits in the top 25% of the 630 employer layoffs tracked here.
• The 163 workers leaving Summit Funding, Inc. re-enter a job market where Sacramento County unemployment stood at 4.8% in June 2026, below the 5.2% statewide rate (Bureau of Labor Statistics, not seasonally adjusted).

These are counts and comparisons drawn from the published filings, not findings about Summit Funding.

Free job-search help near Sacramento

America's Job Center of California is the state's no-cost network for laid-off workers: help filing and keeping unemployment benefits, federally funded retraining, and résumé and interview coaching. Your WARN notice may name one; this is the closest to the site in this filing.

• Greater Sacramento Urban League (opens in a new tab)

  3725 Marysville Blvd, Sacramento, CA 95838 · 916-286-8600

  Comprehensive center (full services on site) · about 3.1 miles from the Sacramento site

Locations and hours change — confirm before visiting, or find another center with the EDD's center locator (opens in a new tab). Directory: U.S. Department of Labor, Jul 31, 2026; distances are straight-line from the address in the filing.

Other layoffs filed in Sacramento County around the same time

33 employers have WARN notices on file in Sacramento County, covering 3,854 workers. These filed within about a quarter of this one.

• Sentinel Transportation, LLC126 workers
• Foods Co107 workers
• DASH Industries80 workers
• Voyatek8 workers

Listed because they appear in the same county in the same public data. No connection between these employers is implied.

California wage claims filed against Summit Funding

California employers face claims under the Private Attorneys General Act (PAGA), which lets an employee sue for civil penalties over Labor Code violations on behalf of the state. The state publishes every filing. One PAGA case naming this employer is on that record, including the settlements below.

These are outcomes in other people’s cases, obtained by other lawyers, taken from the state’s public filing record. They are not results of this firm, and past results do not guarantee a similar outcome. What any individual recovers depends on their own hours, pay records, and dates.

• Court-approved settlement · 2021

  $1,800,000

  Former non-exempt hourly employees of Summit Funding, Inc. alleged wage-and-hour violations including failure to pay overtime, provide meal and rest breaks, pay minimum wages, and reimburse business expenses. The court granted final approval of a class action settlement resolving these claims. The settlement provides monetary payments to class members, and the defendant denies any liability or wrongdoing.

  Covered all individuals who worked for Defendant in the State of California as non-exempt hourly employees during the time period from November 28, 2016 to February 28, 2019. The settlement resolved class claims as well as PAGA penalties.

  Employees covered

  867

  Attorneys' fees

  $684,000

  To the state (LWDA)

  $75,000

  Superior Court of the State of California, for the County of Sacramento · 34-2018-00237292 · Summit Funding denied liability; a settlement is not an admission.

A PAGA case is not a class action, and there is nothing to opt out of. A PAGA settlement resolves civil penalties owed to the state — most of which the state keeps — and it does not necessarily resolve your own unpaid wages, missed break premiums, or final-paycheck penalties. If you worked here and were not paid correctly, that is a separate question worth asking about. How California wage claims work.