Why is My Bank Reopening My Old Foreclosure Case ?
Why is My Bank Reopening My Old Foreclosure Case ? Do you live in New York and have a foreclosure suit in your past (initiated more than 6 years ago) that was voluntarily dismissed? Thanks to the recent Engels Decision, your lender may be able to re-start its case against you despite the many years that have passed. But first, you need to understand some legal terminology. What is Loan Acceleration/De-acceleration? If you read through your mortgage documentation, you may come across a clause that states that if you stop paying your mortgage payments, your lender has the right to ask for all the money you owe them at once and in one lump payment. This is called acceleration because the lender is accelerating the time between when the loan was signed and when the full payment will be expected to be completed. If your lender has started a foreclosure suit against you, the loan would be considered accelerated. However, if you were able to negoti...