09 Aug Counseling Notice Is Required Before Foreclosure
Virtually every mortgage lender in the country must give a list of HUD-approved counselors within 45 days after a payment is missed. The only exception is for those mortgages assisted by the Farmers Home Administration.
The requirement is found in the Homeownership Counseling Act. Here are the pertinent pages from the FDIC Compliance Handbook.
There is no stated consequence for a lender’s failure to provide the required list. However, at least one Florida court denied a right to foreclose for this reason.
Latest posts by L. Jed Berliner, Western & Central Massachusetts Consumer Lawyer (see all)
- Attorney-Client Privilege, Work Product, in Bankruptcy - July 27, 2013
- Massachusetts Homesteads Cannot Be Attached - May 27, 2013
- Trustee Sells Home If Defective Mortgage - March 27, 2013
- Unlisted Debts Are Not Discharged in First Circuit - February 27, 2013
- Helpful Bankruptcy Videos - January 27, 2013