NEW YORK—Governor Cuomo announced on Tuesday that several state-chartered banks and mortgage service providers have agreed on a three month moratorium for home mortgage borrowers in areas affected by Hurricane Sandy.
In many cases, the banks and mortgage service providers will delay foreclosures and late fees for 90 days.
“Thousands of New Yorkers lost everything…as a result, some people may be late in payments on mortgages or incur other bank fees and penalties,” Cuomo said in a statement. “I call on any state chartered banks and mortgage servicers that have not yet provided relief programs to borrowers, to follow suit.”
The details may vary from institution to institution. Borrowers should contact their individual bank or mortgage providers for specifics, Cuomo said
- 90-day waiver of late fees on mortgage payments, including online payments.
- In some cases, 90-day or more forbearance on mortgage payments where the borrower has been impacted by the storm and is seeking relief.
- Waiver of interest where a refinancing transaction has been closed, but not funded.
- For borrowers in a trial modification, late payments will not negatively affect such status or prevent the borrowers from obtaining permanent mortgage modifications.
- Banks and service providers will not notify credit bureaus if borrowers make late payments.
Loan Relief Provided at State Chartered Banks:
Apple Savings Bank, Dime Savings Bank of Williamsburg, Emigrant Savings Bank, M&T Bank, New York Community Bank, Ridgewood Savings Bank, Hanover Community Bank, and others.
Loan Relief Provided at State Registered Mortgage Service Providers:
Citi Mortgage, Homeward Residential, Ocwen Loan Servicing, Nationstar, and others.