Bill > S02663

This bill amends the New York Real Property Law by adding a new section that prohibits mortgage lenders (mortgagees) from refusing to accept partial mortgage payments from borrowers (mortgagors) even if those partial payments do not fully bring the borrower's account current. Specifically, the bill requires that mortgagees must accept partial payments, preventing them from rejecting payments that do not cover the entire outstanding debt. The legislation also explicitly preserves any other contractual or legal rights that a mortgagor might have, ensuring that the new provision does not limit other potential remedies for either the borrower or the lender. The bill is designed to provide additional financial flexibility for homeowners who may be experiencing temporary financial difficulties, allowing them to make partial payments without risking total rejection by their mortgage lender. The new law will go into effect 30 days after it is signed, giving mortgage lenders time to adjust their payment acceptance practices.

Justice

https://www.nysenate.gov/legislation/bills/2025/S2663