NYDFS Mortgage Forbearance Relief
On Mar. 24, NYDFS issued emergency regulation for financial relief.
- NYDFS issued new emergency regulation requiring NY regulated financial institutions to provide financial relief to New Yorkers showing financial hardship from COVID-19.
- Emergency regulation adopted pursuant to Gov. Cuomo’s Executive Order No. 202.9.
- Mortgage Forbearance
- NY State regulated financial firms must provide residential mortgage forbearance.
- Applies to property located in NY that is owned by individual residing in NY.
- Individual must demonstrate financial hardship due to virus; forbearance for 90 days.
- Requires NY regulated banks eliminate ATM, overdraft, credit card late payment fees.
- Customer must demonstrate financial hardship due to pandemic.
- Regulated institutions are not limited to offering types of relief listed in the order.
- Institutions encouraged, consistent with safe and sound banking practices, assist individuals with demonstrated financial hardship in any additional manner appropriate.
- Not applicable to, not affect any mortgage loans made, insured, securitized by any agency or instrumentality of the US, GSE, or a Federal Home Loan Bank.
- Not affect rights and obligations of any lender, issuer, servicer or trustee of such obligations, including servicers for the Government National Mortgage Association.
- Not apply to commercial mortgage or any other loan not described in the regulation.
||NY LEG; NYDFS
||B/D; Bank; CNSM; Exch; IA; MG Orig; Servicer
||PR 3/24/2020; EO 202.9, 3/21/2020; COVID-19
||Compliance; Financial; Legal; Operations; Reporting; Risk
||United States of America
||Banking; Cards; Corporate; Deposits; Insurance; Loan; Mortgage; Payments; Securities
|Reg. Last Update
Last substantive update on 03/25/2020