senate Bill S4407

2019-2020 Legislative Session

Provides for the regulation of federal home equity conversion mortgages

download bill text pdf

Sponsored By

Current Bill Status Via A5626 - Passed Senate & Assembly


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

view actions (9)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
May 21, 2019 returned to assembly
passed senate
3rd reading cal.741
substituted for s4407
May 21, 2019 substituted by a5626
May 20, 2019 advanced to third reading
May 15, 2019 2nd report cal.
May 14, 2019 1st report cal.741
Mar 11, 2019 referred to aging

Votes

view votes

May 14, 2019 - Aging committee Vote

S4407
6
0
committee
6
Aye
0
Nay
1
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show Aging committee vote details

Aging Committee Vote: May 14, 2019

aye wr (1)

Co-Sponsors

S4407 (ACTIVE) - Details

See Assembly Version of this Bill:
A5626
Law Section:
Real Property Law
Laws Affected:
Add §280-b, RP L
Versions Introduced in 2017-2018 Legislative Session:
A5820

S4407 (ACTIVE) - Summary

Provides for the regulation of reverse mortgages that are issued under the federal home equity conversion mortgage program; prohibits the deceptive advertising and issuance of such mortgages; requires that independent counseling be provided to applicants for such mortgages; requires lenders to provide notice of duty of mortgagor to pay certain property related expenses when equity in the real property is low or depleted (view more) prohibits foreclosure on mortgaged property based on the failure of the mortgagor to live on the property, until an inspection has been made at the property; establishes a proved right of action with treble damages for violations of such provisions.

S4407 (ACTIVE) - Sponsor Memo

S4407 (ACTIVE) - Bill Text download pdf


                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  4407

                       2019-2020 Regular Sessions

                            I N  S E N A T E

                             March 11, 2019
                               ___________

Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
  printed to be committed to the Committee on Aging

AN  ACT  to  amend  the  real property law, in relation to regulation of
  reverse mortgages issued under  the  federal  home  equity  conversion
  mortgage for seniors program

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The real property law is amended by adding  a  new  section
280-b to read as follows:
  §  280-B.  FEDERAL HOME EQUITY CONVERSION MORTGAGE REGULATION. 1.  FOR
THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOW-
ING MEANINGS:
  (A) REVERSE MORTGAGE LOAN. A  REVERSE  MORTGAGE  LOAN  AS  DEFINED  IN
SECTION  TWO  HUNDRED  EIGHTY  OF  THIS ARTICLE, WHICH IS ISSUED IN THIS
STATE PURSUANT TO  THE  HOME  EQUITY  CONVERSION  MORTGAGE  FOR  SENIORS
PROGRAM OPERATED BY THE FEDERAL DEPARTMENT OF HOUSING AND URBAN DEVELOP-
MENT.
  (B)  AUTHORIZED LENDER. AN AUTHORIZED LENDER AS DEFINED IN SECTION TWO
HUNDRED EIGHTY OF THIS  ARTICLE  AUTHORIZED  TO  MAKE  REVERSE  MORTGAGE
LOANS, AS DEFINED IN THIS SECTION.
  (C)  SUPERINTENDENT.  THE  SUPERINTENDENT OF FINANCIAL SERVICES ESTAB-
LISHED PURSUANT TO SECTION TWO HUNDRED TWO  OF  THE  FINANCIAL  SERVICES
LAW.
  2.  NO  AUTHORIZED  LENDER  OR  ANY OTHER PARTY OR ENTITY SHALL IN ANY
MANNER, IN THE MARKETING OR OFFERING OF REVERSE MORTGAGE  LOANS,  ENGAGE
IN ANY UNFAIR OR DECEPTIVE PRACTICES IN CONNECTION WITH THE MARKETING OR
OFFERING OF REVERSE MORTGAGE LOANS, AND, ADDITIONALLY, SHALL NOT:
  (A)  USE  THE  WORDS  "PUBLIC SERVICE ANNOUNCEMENT" IN ANY COMMERCIAL,
MAILING, ADVERTISEMENT OR WRITING RELATING THERETO; OR
  (B) USE THE WORDS  "GOVERNMENT  INSURED"  OR  OTHER  SIMILAR  LANGUAGE
REPRESENTING  THAT  REVERSE  MORTGAGE  LOANS  ARE INSURED, SUPPORTED AND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

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