|
Instructions for filing a 90-day pre-foreclosure notice with the New York State Banking Department
A. Introduction:
The 2009 Mortgage Foreclosure Law requires each lender, assignee or mortgage loan servicer to file with the Superintendent of Banks, within three business days after mailing the 90-day pre-foreclosure notice for residential real property or cooperative apartments, certain information that will aid the Banking Department in assisting borrowers at risk of foreclosure. This includes the name, address and last known telephone number of the borrower, the amount claimed as due and owing on the mortgage, and any other information the Superintendent may require to determine the type of loan product.
The Superintendent may subsequently request such readily available information as may be reasonably necessary to facilitate a review of whether a borrower might benefit from counseling or other foreclosure prevention services.
The information collected shall be used by the Superintendent for the following purposes:
- monitor on a statewide basis the extent of foreclosure filings within the state;
- perform an analysis of loan types which were the subject of a pre-foreclosure notice; and
- direct as appropriate available public and private foreclosure prevention services to borrowers at risk of foreclosure.
The filing must be on a form prescribed by the Superintendent. Information filed under this section is not subject to disclosure under the Freedom of Information Law or to certain provisions of the Personal Privacy Protection Law.
B. Two part filing process:
The Banking Department has developed a two-part filing process.
Step 1 requires a filing within three business days after filing a 90-day pre-foreclosure notice and is designed to capture the most relevant information necessary to understand the terms of the mortgage and make contact with the borrower. The purpose of this initial step is to provide sufficient information to facilitate outreach efforts by housing counselors to individual borrowers.
Step 2 requires a filing within five business days after filing a lis pendens and will capture more detailed information on the original loan, lender and lien holder. This information will be valuable in the Banking Department’s analysis of the mortgage crisis and in targeting outreach efforts.
C. Data Required in Step 1:
All fields are required, unless otherwise indicated below or on the form.
Section 1: Filing Information
- Each filing will be assigned a unique tracking number. Please provide the e-mail address where the tracking number for the filing should be sent. Note: The Tracking Number assigned to each loan in the initial filing must be retained and used to correct information during Step 1 and to facilitate access to the original record in order to complete Step 2.
- If the filing is missing information when submitted, the Banking Department will send an e-mail message requiring additional information. If you wish to use a different e-mail than the address provided for Tracking Numbers, please specify the address and ensure that these e-mails will be reviewed by someone in a position to respond to Department queries.
- Please indicate if the loan is on a primary residence. This selection should reflect your knowledge of the property at the time of filing. If you have no current knowledge of any change in the status of the property from what was listed on the original loan application, your selection should reflect that status on the loan application. You are not required to file information on any foreclosure notice not related to a primary residence.
- Supply the day, month and year the filing was mailed to the borrower.
Section 2: Servicer Information
- Please provide name, address and telephone number for loss mitigation contact.
- An e-mail address for a loss mitigation contact is recommended, but not required.
Section 3: Property Information
- Provide full mailing address for the property, including street address, city, county and zip code.
- Indicate if the property is a 1-4 family home, co-op, condo, or other. Make your selection based on the legal building classification of the property. If you select ‘other’, please specify.
Section 4: Borrower Information
- Provide name, address and last known telephone number for the primary borrower on the loan.
- An alternative telephone number and e-mail address is requested, if readily available . A key objective of this section of the law is to acquire information to facilitate a process where housing counselors can easily contact homeowners directly. Therefore, any additional contact information will support outreach efforts.
- If there is a second borrower on the loan, please provide name, address and contact information.
Section 5: Loan Details
- Provide date of original loan (this is most likely the note date or closing date). If original loan has been modified, provide date of the original loan.
- Provide amount of original loan. For modified loans, this is the amount of the original loan prior to any modification, write off, principal reduction, etc.
- If the loan has been modified in the past 12 months, please indicate if the modification was under the HAMP program or a non-HAMP modification. You are not required to provide specifics of the modification.
- Identify the type of loan. If other is selected, please specify.
- Select type of loan, and add frequency of reset if the loan is an Adjustable Rate or Payment Option Adjustable Rate loan.
- Specify the loan term.
- Specify the current interest rate.
- Break down of the amount due and owing to bring the loan current into three categories:
- Delinquent contractual payment (including principal interest, taxes and insurance if part of contractual payment)
- Late fees
- Other (including but not limited to escrow advances, insurance advances, attorney fees, property preservation charges, taxes and PMI)
- Specify the current monthly payment.
- Indicate if the current monthly payment includes escrow for insurance, taxes or PMI. You are not required to specify amounts.
- Specify how long the loan has been delinquent.
- Indicate if the loan is investor owned. You are not required to specify the name of the investor.
D: Filing electronically:
Until such time as the online database is accessible on the Banking Department website, all filings in Step 1 must be submitted to the Banking Department via secure e-mail.
Individual Filings:
For individual filings, you must complete the “Step 1 Electronic Form” available on the Banking Department website. All fields must be completed, unless otherwise indicated in section C above or on the form,
Bulk Filings:
For Step A Bulk filings, you must generate ASCII delimited text files as prescribed in 'Bulk Filing Direction -Step A' and e-mail them as attachments to preforeclosurefiling@banking.state.ny.us. Please use unique file names for each submission by concatenating the first 15 letters of your company name, the form type and the date stamp (example: SERVICERCOMPANYSTEPA02112010.txt.)
Step B Bulk files must be generated as per 'Bulk Filing Directions Step B' and sent to preforeclosurefiling@banking.state.ny.us as attachments. Please use unique file names for each submission by concatenating the first 15 letters of your company name, the form type and the date stamp (example: SERVICERCOMPANYSTEPA02112010.txt.)
Filing via e-mail:
To ensure the security of all submissions during this initial stage of the process, the Banking Department requires all e-mails to be submitted using ZixVPM or ZixMail.
Entities not currently using ZixVPM or ZixMail are advised to visit the company’s website at www.zixcorp.com to download and install the required software.
All e-mails should be sent to preforeclosurefiling@banking.state.ny.us.
E. Online database:
Within 180 days of the effective date of Section 1306 (or such later time as the Superintendent may determine), the Superintendent is required to develop an electronic database that is capable of receiving the required filings.
The Banking Department anticipates having the electronic database fully operational on the Department’s website in May 2010. We will keep industry members updated on the launch of the online database, including directions for establishing user accounts.
F. Data Required in Step 2:
Data for Step 2 is due the later of five business after a lis pendens filing or the date the online database goes live. Data required in Step 2 will include providing updates on any information that may have changed since the original filing, including possible changes in servicer information. It will also require more detailed information on the original loan, including original lender and lien holder information. This information will allow the State to monitor and analyze foreclosure filings in the State and target its foreclosure outreach efforts. Please see a draft of the Step 2 Electronic Form, also posted on the Banking Department website.
Questions:
If you have follow-up questions, please direct them to the most relevant department based on the three contacts listed below.
- Legal Questions: Legal Department at (212) 709-1663.
- Mortgage Questions: Sharon Caurthens at (212) 709-5543.
- System Questions: Banking Department Help Desk at (800) 669-2476.
Attachments:
|
