Title: Understanding Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder Introduction: In Newark, New Jersey, an Assignment of Mortgage is a legal document that transfers the rights and interests of a mortgage from one party to another. When the assignment is carried out by an individual mortgage holder, specific procedures and variations may come into play. This article aims to provide a detailed description of Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder, including its types and important keywords to know. 1. Types of Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder: a) Voluntary Assignment: — This type occurs when a mortgage holder willingly transfers their mortgage rights to another individual or entity. — It involves a written agreement, often prepared by attorneys, stating the essential details, terms, and compensation. — A voluntary assignment preserves the legal rights and obligations attached to the mortgage. b) Involuntary Assignment: — In some cases, an individual mortgage holder's assignment may be a result of a court-ordered process, typically through foreclosure proceedings. — This type involves the transfer of mortgage rights to a third party as a result of non-payment or legal disputes. — The involuntary assignment ensures the fulfillment of mortgage obligations and related legal implications. Keywords: 1. Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder 2. Mortgage assignment process 3. Voluntary Assignment in Newark NJ 4. Involuntary Assignment in Newark NJ 5. Mortgage holder's rights and interests transfer 6. Transferring mortgage rights in Newark NJ 7. Mortgage rights assignment document 8. Legal implications of mortgage assignment 9. Mortgage holder's obligations 10. Court-ordered assignment process Conclusion: The Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder encompasses both voluntary and involuntary types, each involving distinct procedures and requirements. Understanding the intricacies of these assignments enables mortgage holders and potential buyers to navigate the legal and financial aspects efficiently. Whether transferring mortgage rights willingly or due to legal processes, ensuring compliance with Newark's specific regulations is crucial for a successful Assignment of Mortgage.
- US Legal Forms
- Localized Forms
- New Jersey
- Newark
-
New Jersey Assignment of Mortgage by Individual Mortgage Holder
Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder
Description
Related forms
How to fill out Newark New Jersey Assignment Of Mortgage By Individual Mortgage Holder?
If you are searching for a relevant form, it’s extremely hard to find a more convenient platform than the US Legal Forms site – probably the most extensive libraries on the internet. With this library, you can find thousands of form samples for organization and personal purposes by categories and regions, or keywords. With our advanced search function, discovering the latest Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder is as elementary as 1-2-3. Moreover, the relevance of each document is proved by a group of professional lawyers that on a regular basis review the templates on our platform and revise them based on the latest state and county laws.
If you already know about our platform and have an account, all you should do to receive the Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder is to log in to your account and click the Download button.
If you use US Legal Forms the very first time, just follow the instructions below:
- Make sure you have found the form you need. Look at its description and make use of the Preview function (if available) to check its content. If it doesn’t suit your needs, use the Search field at the top of the screen to find the appropriate record.
- Affirm your selection. Click the Buy now button. Following that, select your preferred subscription plan and provide credentials to sign up for an account.
- Process the transaction. Use your bank card or PayPal account to complete the registration procedure.
- Obtain the form. Select the format and download it to your system.
- Make changes. Fill out, revise, print, and sign the acquired Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder.
Every single form you save in your account has no expiration date and is yours forever. It is possible to access them using the My Forms menu, so if you need to receive an extra version for editing or creating a hard copy, feel free to come back and save it once more whenever you want.
Make use of the US Legal Forms extensive catalogue to gain access to the Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder you were looking for and thousands of other professional and state-specific templates in one place!
Form Rating
Form popularity
FAQ
An assignment transfers all the original mortgagee's interest under the mortgage or deed of trust to the new bank. Generally, the mortgage or deed of trust is recorded shortly after the mortgagors sign it, and, if the mortgage is subsequently transferred, each assignment is recorded in the county land records.
You can transfer a mortgage to someone else as long as the loan is assumable. The new borrowers will be treated as if they were initiating a new loan for themselves. If your mortgage is not assumable, you still have options even if your lender says no.
The most common example of an Assignment of Mortgage is when a mortgage lender transfers/sells the mortgage to another lender. This can be done more than once until the balance is paid. The lender does not have to inform the borrower that the mortgage is being assigned to another party.
Mortgages are assigned using a document called an assignment of mortgage. This legally transfers the original lender's interest in the loan to the new company. After doing this, the original lender will no longer receive the payments of principal and interest.
In a mortgage assignment, your original lender or servicer transfers your mortgage account to another loan servicer. When this occurs, the original mortgagee or lender's interests go to the next lender. Even if your mortgage gets transferred or assigned, your mortgage's terms should remain the same.
An award-winning writer with more than two decades of experience in real estate. The bank or other mortgage lender that provides a borrower with the funds to purchase a home often later transfers or assigns its interest in the mortgage to another firm.
Under an assignment of loan, a lender (the assignor) assigns its rights relating to a loan agreement to a new lender (the assignee). Only the assignor's rights under the loan agreement are assigned.
A disadvantage of a mortgage assignment is the consequences of failing to record it. Under most state laws, an entity seeking to institute foreclosure proceedings must record the assignment before it can do so. If a mortgage is not recorded, the judge will dismiss the foreclosure proceeding.
An assignment transfers all the original mortgagee's interest under the mortgage or deed of trust to the new bank. Generally, the mortgage or deed of trust is recorded shortly after the mortgagors sign it, and, if the mortgage is subsequently transferred, each assignment is recorded in the county land records.
You can transfer a mortgage to someone else as long as the loan is assumable. The new borrowers will be treated as if they were initiating a new loan for themselves. If your mortgage is not assumable, you still have options even if your lender says no.
The most common example of an Assignment of Mortgage is when a mortgage lender transfers/sells the mortgage to another lender. This can be done more than once until the balance is paid. The lender does not have to inform the borrower that the mortgage is being assigned to another party.
Mortgages are assigned using a document called an assignment of mortgage. This legally transfers the original lender's interest in the loan to the new company. After doing this, the original lender will no longer receive the payments of principal and interest.
In a mortgage assignment, your original lender or servicer transfers your mortgage account to another loan servicer. When this occurs, the original mortgagee or lender's interests go to the next lender. Even if your mortgage gets transferred or assigned, your mortgage's terms should remain the same.
An award-winning writer with more than two decades of experience in real estate. The bank or other mortgage lender that provides a borrower with the funds to purchase a home often later transfers or assigns its interest in the mortgage to another firm.
Under an assignment of loan, a lender (the assignor) assigns its rights relating to a loan agreement to a new lender (the assignee). Only the assignor's rights under the loan agreement are assigned.
A disadvantage of a mortgage assignment is the consequences of failing to record it. Under most state laws, an entity seeking to institute foreclosure proceedings must record the assignment before it can do so. If a mortgage is not recorded, the judge will dismiss the foreclosure proceeding.
Newark New Jersey Assignment of Mortgage by Individual Mortgage Holder Related Searches
-
define mortgage
-
how to get a mortgage
-
home seeker program
-
njhmfa approved lenders
-
njhmfa site evaluator
-
njhmfa forms
-
nj mortgage assistance programs
-
njhmfa properties
-
new jersey first-time home buyer assistance programs
-
njhmfa phone number
Interesting Questions
An Assignment of Mortgage is a legal document that transfers the rights of a mortgage from one person or entity to another.
Any individual mortgage holder can hold an Assignment of Mortgage in Newark. It means that a person who lends money for a property purchase can transfer their mortgage rights to another person.
There could be multiple reasons. For example, an individual mortgage holder may choose to assign their mortgage if they want to sell the mortgage to another person or if they need to transfer the mortgage as part of a legal agreement.
Once an Assignment of Mortgage is made, the new mortgage holder assumes all the rights and responsibilities of the original mortgage holder. They become the legal owner of the mortgage and have the authority to collect payments and enforce the terms of the loan.
No, an Assignment of Mortgage and refinancing are different. An Assignment of Mortgage involves transferring the rights to an existing mortgage, while refinancing means obtaining a new mortgage with different terms to replace the original one.
Yes, for an Assignment of Mortgage to occur, both the original mortgage holder and the new mortgage holder need to agree and sign the necessary legal documents.
More info
Trusted and secure by over 3 million people of the world’s leading companies
-
No results found.
-
New Jersey
-
Alabama
-
Alaska
-
Arizona
-
Arkansas
-
California
-
Colorado
-
Connecticut
-
Delaware
-
District of Columbia
-
Florida
-
Georgia
-
Hawaii
-
Idaho
-
Illinois
-
Indiana
-
Iowa
-
Kansas
-
Kentucky
-
Louisiana
-
Maine
-
Maryland
-
Massachusetts
-
Michigan
-
Minnesota
-
Mississippi
-
Missouri
-
Montana
-
Nebraska
-
Nevada
-
New Hampshire
-
New Mexico
-
New York
-
North Carolina
-
North Dakota
-
Ohio
-
Oklahoma
-
Oregon
-
Pennsylvania
-
Rhode Island
-
South Carolina
-
South Dakota
-
Tennessee
-
Texas
-
Utah
-
Vermont
-
Virginia
-
Washington
-
West Virginia
-
Wisconsin
-
Wyoming
Assignments Generally:
Lenders, or holders of mortgages or deeds of trust, often assign mortgages or deeds of trust to other lenders, or third parties. When this is done the assignee (person who received the assignment) steps into the place of the original lender or assignor. To effectuate an assignment, the general rule is that the assignment must be in proper written format and recorded to provide notice of the assignment.
Satisfactions Generally:
Once a mortgage or deed of trust is paid, the holder of the mortgage is required to satisfy the mortgage or deed of trust of record to show that the mortgage or deed of trust is no longer a lien on the property. The general rule is that the satisfaction must be in proper written format and recorded to provide notice of the satisfaction. If the lender fails to record a satisfaction within set time limits, the lender may be responsible for damages set by statute for failure to timely cancel the lien. Depending on your state, a satisfaction may be called a Satisfaction, Cancellation, or Reconveyance. Some states still recognize marginal satisfaction but this is slowly being phased out. A marginal satisfaction is where the holder of the mortgage physically goes to the recording office and enters a satisfaction on the face of the recorded mortgage, which is attested by the clerk.
New Jersey Law
Execution of Assignment or Satisfaction:
Must be signed by the mortgagee.
Assignment:
The county recording officers of the several counties are authorized to record, in suitable books to be provided for that purpose, any assignment of any mortgage upon real estate within their respective counties, the same having thereon such certificate of acknowledgment or proof of execution thereof as is or may be required by law for the recording of deeds, which certificate shall be recorded therewith.
Demand to Satisfy:
Written demand from mortgagor to mortgagee at least 20 days prior to filing suit.
Recording Satisfaction:
An instrument constituting a satisfaction of mortgage meeting the requirements for recordation, including acknowledgment or proof, is filed with the county recording officer. See detailed statutes, below.
Marginal Satisfaction:
The county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such cancellation, release or discharge, together with a reference to the book and page wherein such cancellation, release or discharge is recorded. See section 46:18-12, below.
Penalty:
If the mortgagee has not complied within 15 business days after receipt of the written notice from the mortgagor or mortgagor's agent pursuant to this paragraph (1), the mortgagee or his assigns shall be subject to a fine of $50 per day for each day after the 15-day period until compliance, except that the total fine imposed pursuant to this paragraph (1) shall not exceed $1,000.
If Mortgagee fails to satisfy the recording requirements, he is liable for damages, including attorney fees, if 20 days written notice is given by Mortgagor prior to suit.
Acknowledgment:
An assignment or satisfaction must contain a proper New Jersey acknowledgment, or other acknowledgment approved by Statute.
New Jersey Statutes
46:18-2. Marginal notation on records of mortgages of recorded assignments, extensions or postponements thereof.
When any mortgage of record in the office of the county recording officer of any county shall be assigned, extended or postponed, and such assignment, extension or postponement shall be recorded in the office of such county recording officer, such county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such assignment, extension or postponement, together with a reference to the book and page wherein such assignment, extension or postponement is recorded, and not until such note or memorandum is so entered in the margin as aforesaid shall such recording be notice to all persons concerned that such mortgage is assigned, extended or postponed.
46:18-3. Record of assignments of mortgages; indexes.
The county recording officers of the several counties are authorized to record, in suitable books to be provided for that purpose, any assignment of any mortgage upon real estate within their respective counties, the same having thereon such certificate of acknowledgment or proof of execution thereof as is or may be required by law for the recording of deeds, which certificate shall be recorded therewith. All such assignments shall be properly indexed. For recording such assignments and for copies thereof the county recording officer shall be entitled to the fees prescribed by section 22:4-4 of the title Fees and Costs.
46:18-4. Record of assignment of mortgage as notice of assignment.
The recording of any assignment of a mortgage upon real estate as provided by section 46:18-3 of this title shall, from the time such assignment is left with the county recording officer for record, be notice to all persons concerned that such mortgage is so assigned.
46:18-5.1. Cancellation of mortgages.
A mortgage shall be cancelled of record by the recording officer of any county in which the mortgage was recorded if:
a. The original mortgage bearing on it the
receipt given by the county recording officer at the time it was recorded
is presented to the county recording officer with an endorsement on it
authorizing its cancellation bearing the signature of the mortgagee
or, if the mortgage has been assigned of record, of the last assignee of
record of the mortgage. If the mortgagee or assignee of the mortgage is
a corporation or other entity, the signature for the entity on the endorsement
may be made by any person authorized by the entity to do so; or
b. An instrument constituting a satisfaction
of mortgage meeting the requirements for recordation, including acknowledgment
or proof, is filed with the county recording officer.
46:18-11.2. Cancellation of mortgage after satisfaction.
1.
a. When any mortgage registered or recorded pursuant to R.S.46:17-1
et seq. shall be redeemed, paid and satisfied, a mortgagee, other
than a bank, savings bank, savings and loan association, credit union or
other corporation engaged in the business of making or purchasing mortgage
loans, or his agents or assigns shall within 10 days notify the mortgagor
that he has the right to demand the mortgagee to cancel the mortgage of
record upon payment by the mortgagor of the fee required by the county
to effect the cancellation and the mortgagee shall within 30 days of the
receipt by the mortgagee of the required fee from the mortgagor:
(1) apply to the county recording officer to have the mortgage canceled
of record; and
(2) send to the mortgagor or mortgagor's agent at the same time
the mortgage is sent to the county recording officer for cancellation of
record a copy of the letter of transmittal which the mortgagee sent to
the county recording officer requesting the cancellation of the mortgage
of record.
b.
(1) When any mortgage registered or recorded pursuant to R.S.46:17-1
et seq. shall be redeemed, paid and satisfied and the mortgagee is a bank,
savings bank, savings and loan association, credit union or other corporation
in the business of making or purchasing mortgage loans, that mortgagee,
its agents or assigns shall:
(a) cause the mortgage to be submitted to
the county recording officer for cancellation of record within 30 days
of receipt of all fees which are required to be paid by the mortgagor pursuant
to this subsection; and
(b) send to the mortgagor or mortgagor's agent
at the same time the mortgage is sent to the county recording officer for
cancellation of record a copy of the letter of transmittal which the mortgagee
sent to the county recording officer requesting the cancellation of the
mortgage of record.
(2) The mortgagee shall have the right to receive from the mortgagor
the amount of the fee charged by the county recording officer to cancel
the mortgage plus an additional service fee from the mortgagor, which service
fee shall not exceed $25 or such higher amount which the Commissioner of
Banking and Insurance may approve by regulation, provided the mortgagor
has received notice of the fees required by the mortgagee. The mortgagee
may collect the service fee at the time of the mortgage transaction or
at the time the mortgage is redeemed, paid and satisfied. The fee charged
by the county recording officer to cancel the mortgage of record shall
be collectible at the time the mortgage is redeemed, paid and satisfied.
c. If the final payment is made in cash, by certified check or cashier's
check, the mortgage shall be deemed paid, satisfied and redeemed upon receipt
of the cash, certified check or cashier's check by the mortgagee, his agents
or assigns.
46:18-11.3. Penalty
2.
a.
(1) If the mortgagee, his agent or assigns fails to comply with
the applicable provisions of subsection a. or b. of section 1 of P.L.1975,
c.137 (C.46:18-11.2) , the mortgagor or the mortgagor's agent may serve
the mortgagee or his assigns with written notice of the noncompliance,
which notice shall identify the mortgage and the date and means of its
redemption, payment and satisfaction. If the mortgagee has not complied
within 15 business days after receipt of the written notice from the mortgagor
or mortgagor's agent pursuant to this paragraph (1) , the mortgagee
or his assigns shall be subject to a fine of $50 per day for each day after
the 15-day period until compliance, except that the total fine imposed
pursuant to this paragraph (1) shall not exceed $1,000.
(2) If the mortgagee, his agent or assigns fails to comply with
the applicable provisions of section 1 of P.L.1975, c.137 (C.46:18-11.2),
the purchaser or the purchaser's agent may serve the mortgagee or his assigns
with written notice of the noncompliance, which notice shall identify the
mortgage and the date and means of its redemption, payment and satisfaction.
If the mortgagee has not complied within 15 business days after receipt
of the written notice from the purchaser or purchaser's agent pursuant
to this paragraph (2), the mortgagee or his assigns shall be subject to
a fine of $50 per day for each day after the 15-day period until compliance,
except that the total fine imposed pursuant to this paragraph (2) shall
not exceed $1,000.
b. Of each fine collected pursuant to subsection a. of this section,
100% shall be payable to the private citizen instituting the action. The
fine may be collected by summary proceedings instituted by a private citizen
or the Attorney General in accordance with "the penalty enforcement law"
(N.J.S.2A:58-1 et seq.).
c.
(1) If a mortgagee, his agent or assigns has not applied to
the county recording officer to cancel the mortgage of record pursuant
to subsection a. or b. of section 1 of P.L.1975, c.137 (C.46:18-11.2),
within the 15 business day period provided by paragraph (1) of subsection
a. of this section, the mortgagee shall be liable to the mortgagor for
the greater of the mortgagor's actual damages or the sum of $1,000, less
any fines recovered by the mortgagor pursuant to paragraph (1) of
subsection a. and paragraph (1) of subsection b. of this section.
In any successful action to recover damages pursuant to this paragraph
(1), the mortgagee shall reimburse the mortgagor for the costs of the action
including the mortgagor's reasonable attorneys' fees.
(2) If a mortgagee, his agent or assigns has not applied to
the county recording officer to cancel the mortgage of record pursuant
to subsection a. or b. of section 1 of P.L.1975, c.137 (C.46:18-11.2),
within the 15 business day period provided by paragraph (2) of subsection
a. of this section, the mortgagee shall be liable to the purchaser for
the greater of the purchaser's actual damages or the sum of $1,000, less
any fines recovered by the purchaser pursuant to paragraph (2) of subsection
a. and paragraph (2) of subsection b. of this section. In any successful
action to recover damages pursuant to this paragraph (2), the mortgagee
shall reimburse the purchaser for the costs of the action including the
purchaser's reasonable attorneys' fees.
46:18-11.4. Failure to comply; liability for costs of action for cancellation
Any mortgagee or his assigns who fail to comply with section 1 of this act shall be liable to the mortgagor, or his heirs, successors or assigns who have an interest in the mortgaged premises for the cost of any legal action to have the mortgage canceled of record, including reasonable attorneys' fees, but no attorneys' fees shall be allowed unless 20 days written notice is given to the mortgagee prior to institution of suit.
46:18-11.5 Definitions relative to mortgage cancellations.
1. As used in this act: "Mortgage" means a residential mortgage,
security interest or the like, in which the security is a residential property
such as a house, real property or condominium, which is occupied, or is
to be occupied, by the debtor, who is a natural person, or a member of
the debtor's immediate family, as that person's residence. The provisions
of sections 2 and 3 of P.L.1999, c.40 (C.46:18-11.6 and C.46:18-11.7) shall
apply to all residential mortgages wherever made, which have as their security
a residence in the State of New Jersey, provided that the real property
which is the subject of the mortgage shall not have more than four dwelling
units, one of which shall be, or is planned to be, occupied by the debtor
or a member of the debtor's immediate family as the debtor's or family
member's residence at the time the loan is originated. "Pay-off letter"
means a written document prepared by the holder or servicer of the mortgage
being paid, which is dated not more than 60 days prior to the date the
mortgage is paid, and which contains a statement of all the sums due to
satisfy the mortgage debt, including, but not limited to, interest accrued
to the date the statement is prepared and a means of calculating per diem
interest accruing thereafter.
46:18-11.6 Conditions under which discharge of mortgage may be executed.
2.
a. A person which is entitled to receive payment of a mortgage
duly recorded or registered in this State pursuant to a written agreement,
whether or not recorded, entered into with the holder or owner of the mortgage
may execute a discharge, satisfaction-piece, release, subordination or
postponement on behalf of the holder or owner thereof, which instrument
shall be accepted for recording by the county clerk or register of deeds
and mortgages, so long as:
(1) it meets the requirements of section 2 of P.L.1991, c.308 (C.46:15-1.1);
and
(2) it contains the following wording in the body thereof: "_____________
is authorized to execute this instrument pursuant to the terms of a written
agreement dated ______, between _______________, as owner or holder of
the mortgage, and __________________, as servicer thereof."
b. A person which is the owner or holder of a mortgage duly recorded
or registered in this State for which a prior assignment thereof is unrecorded,
may execute a discharge, satisfaction-piece, release, subordination or
postponement thereof, which instrument shall be accepted for recording
by the county clerk or register of deeds and mortgages, so long as:
(1) it meets the requirements of section 2 of P.L.1991, c.308 (C.46:15-1.1);
and
(2) it contains wording in the body of the instrument setting forth
the particulars concerning all assignments of the mortgage, whether or
not recorded.
c. Upon payment of the appropriate fees therefor, the county clerk
or register of deeds and mortgages shall cause a marginal notation to be
made upon the record of a mortgage which is specifically described in an
instrument submitted in accordance with subsection a. or b. of this
section.
46:18-12. Marginal notations of cancellation, release or discharge of mortgage.
When any mortgage of record in the office of the county recording officer of any county shall be canceled, released or discharged, and such cancellation, release or discharge shall be recorded in the office of such county recording officer, such county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such cancellation, release or discharge, together with a reference to the book and page wherein such cancellation, release or discharge is recorded, and not until such note or memorandum is so entered in the margin as aforesaid shall such recording be notice to all persons concerned that such mortgage is canceled, released or discharged.
Assignments Generally:
Lenders, or holders of mortgages or deeds of trust, often assign mortgages or deeds of trust to other lenders, or third parties. When this is done the assignee (person who received the assignment) steps into the place of the original lender or assignor. To effectuate an assignment, the general rule is that the assignment must be in proper written format and recorded to provide notice of the assignment.
Satisfactions Generally:
Once a mortgage or deed of trust is paid, the holder of the mortgage is required to satisfy the mortgage or deed of trust of record to show that the mortgage or deed of trust is no longer a lien on the property. The general rule is that the satisfaction must be in proper written format and recorded to provide notice of the satisfaction. If the lender fails to record a satisfaction within set time limits, the lender may be responsible for damages set by statute for failure to timely cancel the lien. Depending on your state, a satisfaction may be called a Satisfaction, Cancellation, or Reconveyance. Some states still recognize marginal satisfaction but this is slowly being phased out. A marginal satisfaction is where the holder of the mortgage physically goes to the recording office and enters a satisfaction on the face of the recorded mortgage, which is attested by the clerk.
New Jersey Law
Execution of Assignment or Satisfaction:
Must be signed by the mortgagee.
Assignment:
The county recording officers of the several counties are authorized to record, in suitable books to be provided for that purpose, any assignment of any mortgage upon real estate within their respective counties, the same having thereon such certificate of acknowledgment or proof of execution thereof as is or may be required by law for the recording of deeds, which certificate shall be recorded therewith.
Demand to Satisfy:
Written demand from mortgagor to mortgagee at least 20 days prior to filing suit.
Recording Satisfaction:
An instrument constituting a satisfaction of mortgage meeting the requirements for recordation, including acknowledgment or proof, is filed with the county recording officer. See detailed statutes, below.
Marginal Satisfaction:
The county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such cancellation, release or discharge, together with a reference to the book and page wherein such cancellation, release or discharge is recorded. See section 46:18-12, below.
Penalty:
If the mortgagee has not complied within 15 business days after receipt of the written notice from the mortgagor or mortgagor's agent pursuant to this paragraph (1), the mortgagee or his assigns shall be subject to a fine of $50 per day for each day after the 15-day period until compliance, except that the total fine imposed pursuant to this paragraph (1) shall not exceed $1,000.
If Mortgagee fails to satisfy the recording requirements, he is liable for damages, including attorney fees, if 20 days written notice is given by Mortgagor prior to suit.
Acknowledgment:
An assignment or satisfaction must contain a proper New Jersey acknowledgment, or other acknowledgment approved by Statute.
New Jersey Statutes
46:18-2. Marginal notation on records of mortgages of recorded assignments, extensions or postponements thereof.
When any mortgage of record in the office of the county recording officer of any county shall be assigned, extended or postponed, and such assignment, extension or postponement shall be recorded in the office of such county recording officer, such county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such assignment, extension or postponement, together with a reference to the book and page wherein such assignment, extension or postponement is recorded, and not until such note or memorandum is so entered in the margin as aforesaid shall such recording be notice to all persons concerned that such mortgage is assigned, extended or postponed.
46:18-3. Record of assignments of mortgages; indexes.
The county recording officers of the several counties are authorized to record, in suitable books to be provided for that purpose, any assignment of any mortgage upon real estate within their respective counties, the same having thereon such certificate of acknowledgment or proof of execution thereof as is or may be required by law for the recording of deeds, which certificate shall be recorded therewith. All such assignments shall be properly indexed. For recording such assignments and for copies thereof the county recording officer shall be entitled to the fees prescribed by section 22:4-4 of the title Fees and Costs.
46:18-4. Record of assignment of mortgage as notice of assignment.
The recording of any assignment of a mortgage upon real estate as provided by section 46:18-3 of this title shall, from the time such assignment is left with the county recording officer for record, be notice to all persons concerned that such mortgage is so assigned.
46:18-5.1. Cancellation of mortgages.
A mortgage shall be cancelled of record by the recording officer of any county in which the mortgage was recorded if:
a. The original mortgage bearing on it the
receipt given by the county recording officer at the time it was recorded
is presented to the county recording officer with an endorsement on it
authorizing its cancellation bearing the signature of the mortgagee
or, if the mortgage has been assigned of record, of the last assignee of
record of the mortgage. If the mortgagee or assignee of the mortgage is
a corporation or other entity, the signature for the entity on the endorsement
may be made by any person authorized by the entity to do so; or
b. An instrument constituting a satisfaction
of mortgage meeting the requirements for recordation, including acknowledgment
or proof, is filed with the county recording officer.
46:18-11.2. Cancellation of mortgage after satisfaction.
1.
a. When any mortgage registered or recorded pursuant to R.S.46:17-1
et seq. shall be redeemed, paid and satisfied, a mortgagee, other
than a bank, savings bank, savings and loan association, credit union or
other corporation engaged in the business of making or purchasing mortgage
loans, or his agents or assigns shall within 10 days notify the mortgagor
that he has the right to demand the mortgagee to cancel the mortgage of
record upon payment by the mortgagor of the fee required by the county
to effect the cancellation and the mortgagee shall within 30 days of the
receipt by the mortgagee of the required fee from the mortgagor:
(1) apply to the county recording officer to have the mortgage canceled
of record; and
(2) send to the mortgagor or mortgagor's agent at the same time
the mortgage is sent to the county recording officer for cancellation of
record a copy of the letter of transmittal which the mortgagee sent to
the county recording officer requesting the cancellation of the mortgage
of record.
b.
(1) When any mortgage registered or recorded pursuant to R.S.46:17-1
et seq. shall be redeemed, paid and satisfied and the mortgagee is a bank,
savings bank, savings and loan association, credit union or other corporation
in the business of making or purchasing mortgage loans, that mortgagee,
its agents or assigns shall:
(a) cause the mortgage to be submitted to
the county recording officer for cancellation of record within 30 days
of receipt of all fees which are required to be paid by the mortgagor pursuant
to this subsection; and
(b) send to the mortgagor or mortgagor's agent
at the same time the mortgage is sent to the county recording officer for
cancellation of record a copy of the letter of transmittal which the mortgagee
sent to the county recording officer requesting the cancellation of the
mortgage of record.
(2) The mortgagee shall have the right to receive from the mortgagor
the amount of the fee charged by the county recording officer to cancel
the mortgage plus an additional service fee from the mortgagor, which service
fee shall not exceed $25 or such higher amount which the Commissioner of
Banking and Insurance may approve by regulation, provided the mortgagor
has received notice of the fees required by the mortgagee. The mortgagee
may collect the service fee at the time of the mortgage transaction or
at the time the mortgage is redeemed, paid and satisfied. The fee charged
by the county recording officer to cancel the mortgage of record shall
be collectible at the time the mortgage is redeemed, paid and satisfied.
c. If the final payment is made in cash, by certified check or cashier's
check, the mortgage shall be deemed paid, satisfied and redeemed upon receipt
of the cash, certified check or cashier's check by the mortgagee, his agents
or assigns.
46:18-11.3. Penalty
2.
a.
(1) If the mortgagee, his agent or assigns fails to comply with
the applicable provisions of subsection a. or b. of section 1 of P.L.1975,
c.137 (C.46:18-11.2) , the mortgagor or the mortgagor's agent may serve
the mortgagee or his assigns with written notice of the noncompliance,
which notice shall identify the mortgage and the date and means of its
redemption, payment and satisfaction. If the mortgagee has not complied
within 15 business days after receipt of the written notice from the mortgagor
or mortgagor's agent pursuant to this paragraph (1) , the mortgagee
or his assigns shall be subject to a fine of $50 per day for each day after
the 15-day period until compliance, except that the total fine imposed
pursuant to this paragraph (1) shall not exceed $1,000.
(2) If the mortgagee, his agent or assigns fails to comply with
the applicable provisions of section 1 of P.L.1975, c.137 (C.46:18-11.2),
the purchaser or the purchaser's agent may serve the mortgagee or his assigns
with written notice of the noncompliance, which notice shall identify the
mortgage and the date and means of its redemption, payment and satisfaction.
If the mortgagee has not complied within 15 business days after receipt
of the written notice from the purchaser or purchaser's agent pursuant
to this paragraph (2), the mortgagee or his assigns shall be subject to
a fine of $50 per day for each day after the 15-day period until compliance,
except that the total fine imposed pursuant to this paragraph (2) shall
not exceed $1,000.
b. Of each fine collected pursuant to subsection a. of this section,
100% shall be payable to the private citizen instituting the action. The
fine may be collected by summary proceedings instituted by a private citizen
or the Attorney General in accordance with "the penalty enforcement law"
(N.J.S.2A:58-1 et seq.).
c.
(1) If a mortgagee, his agent or assigns has not applied to
the county recording officer to cancel the mortgage of record pursuant
to subsection a. or b. of section 1 of P.L.1975, c.137 (C.46:18-11.2),
within the 15 business day period provided by paragraph (1) of subsection
a. of this section, the mortgagee shall be liable to the mortgagor for
the greater of the mortgagor's actual damages or the sum of $1,000, less
any fines recovered by the mortgagor pursuant to paragraph (1) of
subsection a. and paragraph (1) of subsection b. of this section.
In any successful action to recover damages pursuant to this paragraph
(1), the mortgagee shall reimburse the mortgagor for the costs of the action
including the mortgagor's reasonable attorneys' fees.
(2) If a mortgagee, his agent or assigns has not applied to
the county recording officer to cancel the mortgage of record pursuant
to subsection a. or b. of section 1 of P.L.1975, c.137 (C.46:18-11.2),
within the 15 business day period provided by paragraph (2) of subsection
a. of this section, the mortgagee shall be liable to the purchaser for
the greater of the purchaser's actual damages or the sum of $1,000, less
any fines recovered by the purchaser pursuant to paragraph (2) of subsection
a. and paragraph (2) of subsection b. of this section. In any successful
action to recover damages pursuant to this paragraph (2), the mortgagee
shall reimburse the purchaser for the costs of the action including the
purchaser's reasonable attorneys' fees.
46:18-11.4. Failure to comply; liability for costs of action for cancellation
Any mortgagee or his assigns who fail to comply with section 1 of this act shall be liable to the mortgagor, or his heirs, successors or assigns who have an interest in the mortgaged premises for the cost of any legal action to have the mortgage canceled of record, including reasonable attorneys' fees, but no attorneys' fees shall be allowed unless 20 days written notice is given to the mortgagee prior to institution of suit.
46:18-11.5 Definitions relative to mortgage cancellations.
1. As used in this act: "Mortgage" means a residential mortgage,
security interest or the like, in which the security is a residential property
such as a house, real property or condominium, which is occupied, or is
to be occupied, by the debtor, who is a natural person, or a member of
the debtor's immediate family, as that person's residence. The provisions
of sections 2 and 3 of P.L.1999, c.40 (C.46:18-11.6 and C.46:18-11.7) shall
apply to all residential mortgages wherever made, which have as their security
a residence in the State of New Jersey, provided that the real property
which is the subject of the mortgage shall not have more than four dwelling
units, one of which shall be, or is planned to be, occupied by the debtor
or a member of the debtor's immediate family as the debtor's or family
member's residence at the time the loan is originated. "Pay-off letter"
means a written document prepared by the holder or servicer of the mortgage
being paid, which is dated not more than 60 days prior to the date the
mortgage is paid, and which contains a statement of all the sums due to
satisfy the mortgage debt, including, but not limited to, interest accrued
to the date the statement is prepared and a means of calculating per diem
interest accruing thereafter.
46:18-11.6 Conditions under which discharge of mortgage may be executed.
2.
a. A person which is entitled to receive payment of a mortgage
duly recorded or registered in this State pursuant to a written agreement,
whether or not recorded, entered into with the holder or owner of the mortgage
may execute a discharge, satisfaction-piece, release, subordination or
postponement on behalf of the holder or owner thereof, which instrument
shall be accepted for recording by the county clerk or register of deeds
and mortgages, so long as:
(1) it meets the requirements of section 2 of P.L.1991, c.308 (C.46:15-1.1);
and
(2) it contains the following wording in the body thereof: "_____________
is authorized to execute this instrument pursuant to the terms of a written
agreement dated ______, between _______________, as owner or holder of
the mortgage, and __________________, as servicer thereof."
b. A person which is the owner or holder of a mortgage duly recorded
or registered in this State for which a prior assignment thereof is unrecorded,
may execute a discharge, satisfaction-piece, release, subordination or
postponement thereof, which instrument shall be accepted for recording
by the county clerk or register of deeds and mortgages, so long as:
(1) it meets the requirements of section 2 of P.L.1991, c.308 (C.46:15-1.1);
and
(2) it contains wording in the body of the instrument setting forth
the particulars concerning all assignments of the mortgage, whether or
not recorded.
c. Upon payment of the appropriate fees therefor, the county clerk
or register of deeds and mortgages shall cause a marginal notation to be
made upon the record of a mortgage which is specifically described in an
instrument submitted in accordance with subsection a. or b. of this
section.
46:18-12. Marginal notations of cancellation, release or discharge of mortgage.
When any mortgage of record in the office of the county recording officer of any county shall be canceled, released or discharged, and such cancellation, release or discharge shall be recorded in the office of such county recording officer, such county recording officer shall forthwith enter in the margin opposite the original entry of such mortgage a note or memorandum setting forth such cancellation, release or discharge, together with a reference to the book and page wherein such cancellation, release or discharge is recorded, and not until such note or memorandum is so entered in the margin as aforesaid shall such recording be notice to all persons concerned that such mortgage is canceled, released or discharged.