As part of the Helping Families Save Their Homes Act (the “Act”), Congress amended Section 131 of the Truth in Lending Act (15 USC § 1641)(“TILA”) to include a new provision (Section 131(g)) that requires the assignee of a mortgage loan to notify a consumer borrower that his loan has been transferred
. This notice requirement became effective immediately upon the President’s signature on May 19, 2009
I always thought this was interesting. Prior to this amendment they were ONLY required to notify you when there was a change of SERVICER. Now the TILA requires that the recipient of ANY ASSIGNMENT to notify the borrower in writing with the Name, Address, Phone number, Person to contact, ect...
Call the Servicer and throw that around. Tell them you never received any notification that someone other than the original lender was the owner. See what they say.
Pursuant to Section 131(g), the new owner or assignee of a mortgage loan must notify the borrower in writing within 30 days after his mortgage loan is sold or otherwise transferred. The notice must include:
- The assignee’s identity, address and phone number;
- The date of transfer;
- Contact information for an agent or party having authority to act on behalf of the assignee;
- The location of the place where transfer of ownership of the debt is recorded; and
- Any other relevant information regarding the assignee.
An assignee that violates this notice requirement will be subject to civil penalties under Section 130(a) of TILA. 15 USC § 1640(a). Effective July 31, 2009, the maximum penalty that an individual consumer may recover for a TILA violation in connection with a closed-end loan secured by real property or a dwelling will increase from $2,000 to $4,000.