Gill Measure Signed To Help Homeowners Settle Mortgage Debt

TRENTON – A bill, S-1181, sponsored by Senator Nia H. Gill to help homeowners save their homes from foreclosure by finding out exactly how much they owe was signed into law today by Governor Corzine.

“Before a lender takes the final step to foreclose on someone’s home, the owners with the debt should be able to find out exactly how much they owe,” said Senator Gill, the Chair of the Senate Commerce Committee. “This new law will help people put together the correct amount to settle the debt and save their homes.”

Senator Gill said the measure was crafted because legal fees and other costs often mount prior to a court-ordered final judgment of foreclosure, causing insurmountable confusion to those seeking to cure their debt.

“This new law will help ensure fairness for the homeowners who, in good conscience, want to settle their debt, keep their house and restore a good relationship with their lender,” said Senator Gill, D-Essex and Passaic.

Under the measure, a lender would be required to list a contact who could provide the exact amount owed by the debtor as part of an already-established 14-day notice requirement for an application for final judgment of foreclosure. The new law takes effect in three months.