Management Strategies

11:05 AM
Connect Directly
Facebook
Twitter
Google+
RSS
E-Mail
50%
50%

Banks and Servicers Agree To Mortgage Relief for Sandy Victims

A number of mortgage lenders in New York State have agreed to waive late payment fees and postpone foreclosures for Sandy victims.

A number of banks and mortgage servicers have agreed to provide relief for New Yorkers struck by Sandy last week, a statement released today by New York State Governor Andrew Cuomo's office said.

A number of state-chartered banks, including M&T Bank and New York Community Bank, along with mortgage servicers registered with the state (such as Citi Mortgage and Nationstar) agreed to provide the relief. The relief provisions vary depending on the institution, the governor's office stated. But most of the lenders who signed on have agreed to postpone foreclosures and late fees for 90 days, waive interest on a refinancing transaction that has been closed but not funded yet and, in some cases, give 90 days or more forbearance on mortgage payments for borrowers impacted by the storm.

[See Related: Social Media Helps Banks Communicate with Customers Affected by Hurricane]

The State's Superintendant of Financial Services Benjamin Lawsky also urged banks and servicers to consider altering or adjusting payments terms for affected borrowers.

Jonathan Camhi has been an associate editor with Bank Systems & Technology since 2012. He previously worked as a freelance journalist in New York City covering politics, health and immigration, and has a master's degree from the City University of New York's Graduate School ... View Full Bio

Comment  | 
Print  | 
More Insights
Register for Bank Systems & Technology Newsletters
White Papers
Current Issue
Bank Systems & Technology - August 2014
Modern core systems are emerging as the foundations of effective channel integration and customer engagement initiatives.
Slideshows
Video
Bank Systems & Technology Radio
Archived Audio Interviews
New IT Models for New Financial Services Challenges