Loading chat...
NY A03386
Bill
Status
1/27/2009
Primary Sponsor
Thomas Alfano
Click for details
AI Summary
-
Prohibits mortgage brokers from charging fees exceeding $500 or 3% of the loan amount, and limits total service fees to 6% of loan value, excluding public recording fees, title insurance, and borrower's attorney fees
-
Bans balloon payments, negative amortization provisions, and interest rate increases upon default in mortgages on primary residences
-
Requires mortgage brokers to disclose whether loans will be retained or sold, and prohibits loan sale or enforcement action for 30 days if disclosures are not made and acknowledged by borrower
-
Extends home improvement contract cancellation period from 3 business days to 15 business days, with written notice required
-
Establishes affirmative defenses in foreclosure and loan enforcement actions when lenders knowingly made loans to borrowers unable to repay, with courts able to award attorney fees to defendants who prove violations
Legislative Description
An act to amend the banking law, the real property law, the real property actions and proceedings law, the general business law and the general obligations law, in relation to enacting the "Home Equity Fraud Act"
Last Action
referred to banks
1/6/2010