NY Real Prop Actions L § 1304 (2021)
2021 New York Laws RPA - Real Property Actions and Proceedings Article 13 - Action to Foreclose a Mortgage 1304 - Required Prior Notices.

§ 1304. Required prior notices. 1. Notwithstanding any other provision of  law,  with  regard  to  a  home  loan, at least ninety days before a lender, an assignee or a mortgage loan servicer commences  legal  action against the borrower, or borrowers at the property address and any other address of record, including mortgage foreclosure, such lender, assignee or  mortgage loan servicer shall give notice to the borrower in at least fourteen-point type which shall include the following:   "YOU MAY BE AT RISK OF FORECLOSURE. PLEASE READ THE FOLLOWING NOTICE                                CAREFULLY"   "As of ___, your home loan is ___ days and  ___  dollars  in  default. Under  New  York  State  Law, we are required to send you this notice to inform you that you are at risk of losing your home.   Attached to this notice is  a  list  of  government  approved  housing counseling  agencies in your area which provide free counseling. You can also call the NYS Office of the Attorney General's Homeowner  Protection Program  (HOPP)  toll-free  consumer  hotline  to  be  connected to free housing   counseling   services   in   your   area   at   1-855-HOME-456 (1-855-466-3456),  or visit their website at http://www.aghomehelp.com/. A   statewide   listing    by    county    is    also    available    at http://www.dfs.ny.gov/consumer/mortg  nys  np  counseling  agencies.htm. Qualified free help is available; watch out for companies or people  who charge a fee for these services.   Housing  counselors from New York-based agencies listed on the website above are trained to help homeowners  who  are  having  problems  making their  mortgage  payments and can help you find the best option for your situation. If you wish, you may also contact us directly  at  __________ and ask to discuss possible options.   While  we  cannot  assure  that  a  mutually  agreeable  resolution is possible, we encourage you to take immediate steps to try to  achieve  a resolution.  The longer you wait, the fewer options you may have.   If  you  have  not  taken any actions to resolve this matter within 90 days from the date this notice was mailed, we may commence legal  action against  you  (or  sooner  if  you cease to live in the dwelling as your primary residence.)   If you need further  information,  please  call  the  New  York  State Department of Financial Services' toll-free helpline at (show number) or visit the Department's website at (show web address).   IMPORTANT: You have the right to remain in your home until you receive a court order telling you to leave the property. If a foreclosure action is filed against you in court, you still have the right to remain in the home  until a court orders you to leave. You legally remain the owner of and are responsible for the property until the property is sold  by  you or  by  order  of  the  court  at  the  conclusion  of  any  foreclosure proceedings. This notice is not an eviction notice,  and  a  foreclosure action has not yet been commenced against you.   1-a.  Notwithstanding  any  other  provision  of law, with regard to a reverse mortgage home loan, at least ninety days  before  a  lender,  an assignee  or a mortgage loan servicer commences legal action against the borrower or borrowers at the property address and any other addresses of record, including reverse mortgage foreclosure, such lender, assignee or mortgage loan servicer shall give notice to the  borrower  in  at  least fourteen-point  type  except  for the heading which shall be in at least sixteen-point type which shall include the following:                  "YOU COULD LOSE YOUR HOME TO FORECLOSURE.                PLEASE READ THE FOLLOWING NOTICE CAREFULLY.  Date Borrower's address  Loan Number: Property Address: Dear Borrower(s):  As of ___________, we as your lender or servicer claim that your reverse mortgage  loan  is ___ days in default. Under New York State Law, we are required to send you this notice to inform you that you may be  at  risk of losing your home.  We,  the lender or servicer of your loan, are claiming that your reverse mortgage loan is in default because  you  have  not  complied  with  the following conditions of your loan:  _____ You are not occupying your home as your principal residence _____ You did not submit the required annual certificate of occupancy _____ The named borrower on the reverse mortgage has died _____ You did not pay property taxes           {Servicer  name}  paid  your  property taxes for the following           time periods:___________________________           ______________________ {quarter/year} _____ You did not maintain homeowner's insurance           {Servicer name} purchased homeowner's insurance for you on the           following   date(s)   and   for   the    following    cost(s):           ____________________________________ _____ You did not pay water/sewer charges           {Servicer  name}  paid  water/sewer  charges  for  you  on the           following   date(s)   and   for   the    following    cost(s):           ________________________ _____ You did not make required repairs to your home  If the claim is based on your failure to pay property or water and sewer charges  or maintain homeowner's insurance, you can cure this default by making the payment of $____________ for the advancements we made towards these payments on your behalf.  You have the right to dispute the claims listed above by contacting  us, by  calling  ___________ or sending a letter to __________________. This may include proof of payments made for property taxes or water and sewer charges or a current declaration page from your  insurance  company,  or any other proof to dispute the servicer's claim.  If  you  are  in  default  for failure to pay property charges (property taxes, homeowner's insurance and/or water/sewer charges) you may qualify for a grant, loan, or re-payment plan to cure the default balance owed.  If you are in default due to the  death  of  your  spouse,  you  may  be considered  an eligible "Non-Borrowing Spouse" under a HUD program which allows you to remain in your home for the rest of your life.  If you are over the age of 80 and have a long term illness, you may also qualify for the "At-Risk Extension," which allows you to remain in  your home for one additional year and requires an annual re-certification.  Attached  to  this  notice  is  a  list  of  government-approved housing counseling agencies and legal services in your area which  provide  free counseling.  You  can also call the NYS Office of the Attorney General's Homeowner Protection Program (HOPP) toll-free  consumer  hotline  to  be connected   to   free  housing  counseling  services  in  your  area  at  1-855-HOME-456   (1-855-466-3456),   or   visit   their    website    at http://www.aghomehelp.com.   A  statewide  listing  by  county  is  also available                                                             at http://www.dfs.ny.gov/consumer/mortg nys np counseling agencies.htm. You  may also call your local Department of Aging for a referral or call 311 if you live in New York City.  Qualified free help is available; watch out for companies or people  who charge a fee for these services.  You  may  also  contact us directly at __________ and ask to discuss all possible options to allow you to  cure  your  default  and  prevent  the foreclosure  of  your  home. While we cannot ensure that a resolution is possible, we encourage you to take immediate steps to try to  achieve  a resolution. The longer you wait, the fewer options you may have.  If  you have not taken any actions to resolve this matter within 90 days from the date this notice was  mailed,  we  may  commence  legal  action against  you  (or  sooner  if  you cease to live in the dwelling as your primary residence).  If you  need  further  information,  please  call  the  New  York  State Department  of Financial Services' toll-free helpline at 877-226-5697 or visit the Department's website at http://www.dfs.ny.gov.  IMPORTANT: You have the right to remain in your home until you receive a court order telling you to leave the property. If a  foreclosure  action is filed against you in court, you still have the right to remain in the home  until a court orders you to leave. You legally remain the owner of and are responsible for the property until the property is sold  by  you or  by  order  of  the  court  at  the  conclusion  of  any  foreclosure proceedings. This notice is not an eviction notice,  and  a  foreclosure action has not yet been commenced against you."    A  lender,  assignee  or  mortgage loan servicer of a reverse mortgage home loan which provides notice to the  borrower  as  required  by  this subdivision  is  not  required  to  provide notice to such borrower with regard to such loan pursuant to subdivision one of this section.   2. The notices required by this section shall be sent by such  lender, assignee  (including  purchasing  investor) or mortgage loan servicer to the borrower, by registered or certified mail and  also  by  first-class mail  to  the  last  known address of the borrower, and to the residence that is the subject of  the  mortgage.  The  notices  required  by  this section  shall be sent by the lender, assignee or mortgage loan servicer in a separate envelope from any  other  mailing  or  notice.  Notice  is considered  given  as  of the date it is mailed. The notices required by this section shall contain a current  list  of  at  least  five  housing counseling  agencies  serving  the  county where the property is located from the most recent listing  available  from  department  of  financial services.  The  list  shall  include the counseling agencies' last known addresses and telephone numbers. The department  of  financial  services shall  make  available  on  its  websites  a listing, by county, of such agencies. The lender, assignee or mortgage loan servicer shall use  such lists to meet the requirements of this section.   3.  The  ninety  day  period  specified  in  the  notices contained in subdivisions one and one-a of this section shall  not  apply,  or  shall cease  to  apply,  if  the  borrower has filed for bankruptcy protection under federal law, or if the borrower no longer occupies  the  residence  as  the  borrower's principal dwelling. Nothing herein shall relieve the lender, assignee or mortgage loan servicer of  the  obligation  to  send such notices, which notices shall be a condition precedent to commencing a foreclosure proceeding.   4.  The  notices  required  by  this section and the ninety day period required by subdivisions one and one-a of  this  section  need  only  be provided  once  in  a  twelve  month  period  to  the  same  borrower in connection with the same loan and same delinquency.  Should  a  borrower cure  a  delinquency but re-default in the same twelve month period, the lender shall provide a new notice pursuant to this section.   5. For any borrower known to have  limited  English  proficiency,  the notices  required by subdivisions one and one-a of this section shall be in the borrower's native language (or a language in which  the  borrower is proficient), provided that the language is one of the six most common non-English   languages  spoken  by  individuals  with  limited  English proficiency in the state of New York,  based  on  United  States  census data.  The  department  of  financial  services  shall  post the notices required by subdivisions one and one-a of this section on its website in the six most common non-English languages  spoken  by  individuals  with limited  English  proficiency  in  the  state  of New York, based on the United States census data.   6. (a) (1) "Home loan" means a  loan,  including  an  open-end  credit plan, in which:  (i) The borrower is a natural person;  (ii)  The  debt  is  incurred  by the borrower primarily for personal, family, or household purposes;  (iii) The loan is secured by a mortgage  or  deed  of  trust  on  real estate improved by a one to four family dwelling, or a condominium unit, in  either  case,  used  or occupied, or intended to be used or occupied wholly or partly, as the home or residence of one or  more  persons  and which is or will be occupied by the borrower as the borrower's principal dwelling; and  (iv) The property is located in this state.  (2)  A  home  loan  shall include a loan secured by a reverse mortgage that meets the requirements of clauses (i) through (iv) of  subparagraph one of this paragraph.   7.  The department of financial services shall prescribe the telephone number and web address to be included in the notice.