In Pennsylvania, mortgage lenders were required to give homeowners an Act 91 notice prior to filing a foreclosure action. Borrowers were given 33 days to cure the default or apply for assistance through an emergency program that could provide money to help borrowers cure the mortgage arrears. If the borrower applied for assistance within 33 days, the foreclosure could not proceed until a decision was made on whether the borrower is eligible for emergency assistance.
The program was recently suspended and lenders are no longer required to provide homeowners in default with the Act 91 notice prior to commencing a foreclosure action. However, lenders are still required to provide borrowers with the Act 6 notice if the original loan amount is $221,540 or less. The Act 6 notice is a written notice stating that the mortgage is in default and if it is not cured within 30 days, the lender can proceed with a foreclosure action. For homeowners whose original loan amount exceeds $221,540, a foreclosure action can now be filed without giving the borrower notice of their intent to file foreclosure.
Once a foreclosure action is filed, a sheriff will serve the borrower with the complaint. The borrower will have 20 days to file an Answer or the lender may be able to obtain a default judgment. If you received a mortgage foreclosure complaint, please call us at (610) 417-6345 for a free consultation.
Zachary Zawarski, Esq.