Major Banks Fail to Notify Homeowners of the Right to Cure
According to foreclosure defense attorneys in Massachusetts, several major banks, including Bank of America, JP Morgan Chase, Wells Fargo, and Citibank, among others, are ignoring a state law that gives homeowners 150 days to cure their default by catching up on their mortgage payments. Under the law, banks must give homeowners five months to repay their loans before the foreclosure process can begin.
The most important part of the law is the “right to cure” notice, which describes the foreclosure process in simple terms, and notifies homeowners of their legal rights. Massachusetts requires mortgage lenders to send these notices to homeowners, but many banks allegedly ignore this requirement.
In addition to the notice difficulties, banks are also disregarding important portions of a $25 billion mortgage settlement that was the result of a nationwide lawsuit against unscrupulous lenders, according to Massachusetts Attorney General Martha Coakley.
Illinois Also Provides Right to Cure for Homeowners
Since it seems that banks continue to abuse their positions as trusted mortgage lenders, Illinois residents should know that they have a broad range legal rights when facing home foreclosure. For example, state law requires mortgage lenders to give notice to homeowners of potential foreclosure actions. In addition, homeowners must be given at least 30 days to cure their default by giving their lenders all overdue payments and fees.
Nevertheless, mortgage lenders continue to ignore such laws in Illinois, too, which is why many state residents enlist the aid of a foreclosure defense attorney when they fall behind on their mortgage payments. There are many ways a bank can make a legal misstep during the foreclosure process. If your bank has made an error, you may be able to keep your home out of foreclosure. Don't sleep on your legal rights. Contact a foreclosure attorney today.