News from Senator Hugh T. Farley

For more information contact: Peter Edman, 518-455-2181

Media Advisory - Senate Hearing on Mortage Foreclosures

Senate Banks Committee Public Hearing on Mortgage Foreclosures and Subprime Lending

ALBANY, NY (05/07/2008; 1502)(readMedia)-- The New York State Senate Banks Committee, chaired by Senator Hugh T. Farley (R,C - Schenectady), will conduct a Public Hearing on the Governor's Program Bill (S.8143) designed to address mortgage foreclosures and subprime lending practices in New York State.

The Hearing is scheduled for Monday, May 12th, at 10:00 am, in Hearing Room A of the Legislative Office Building in Albany.

The Governor's Program Bill would require lenders to notify delinquent homeowners at least 60 days before commencing foreclosure actions, and would require a court-supervised "settlement conference" at which the lender and homeowner could work out a compromise payment process.

The bill would require mortgage loan servicers to register with the State, would make mortgage brokers responsible for honestly advising their customers, would require lenders to determine that a borrower has a "reasonable ability to repay" the mortgage, and would apply a new specific crime of mortgage fraud to dishonest lenders. It would also expand the protections of New York's strong anti-predatory-lending laws to cover additional mortgages.

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