New York Governor Andrew Cuomo declared several mortgage servicers and major state-chartered banks will offer assistance to mortgage borrowers affected by Storm Sandy. For many, this will waive foreclosures and late fees for 90 days.
“Thousands of New Yorkers lost everything, while others are struggling with no electricity and limited ability to travel or communicate. As a result, some people may be late in payments on mortgages or incur other bank fees and penalties," explained Governor Cuomo.
"I’m proud to say that major New York State chartered banks and registered mortgage servicers have agreed to waive fees and penalties so borrowers, who are already facing the difficulties and expenses of recovering, won’t have this additional cost. I call on any state chartered banks and mortgage servicers that have not yet provided relief programs to borrowers to follow suit,” he added.
Banks and mortgage servicers are offering many forms of relief, including postponement of foreclosures and evictions; waived late fees on mortgage payments; forbearance on mortgage payments; suspended interest on closed refinanced transactions and waived late payment notifications to banks and servicers.
Specific details on relief efforts vary on a case-by-case basis and individuals seeking assistance should contact their bank or mortgage servicers for more information.
“Local banks and mortgage servicers can play a major role in helping our communities recover, as they have played a major role in their growth before the storm,” Superintendent of the New York Financial Services department Benjamin Lawsky said.
State-chartered banks offer loan relief efforts include Apple Savings Bank, Dime Savings Bank of Williamsburg, Emigrant Savings Bank, M&T Bank, New York Community Bank, Ridgewood Savings Bank, Hanover Community Bank, among others. State registered mortgage servicers providing assistance include Citi Mortgage, Homeward Residential, Ocwen Loan Servicing, Nationstar and others.