15.3.2.020 Actions Upon Default

(a) A Borrower shall be considered to be in default when they are in violation of any material term or condition of the Mortgage.

(b) When a Borrower is at least five (5) days past due on a payment owed under Mortgage, or the Lender has received actual notice that the Borrower is in violation of any other material term or condition of the Mortgage, and before any foreclosure action or activity is initiated, the Lender shall:

(1) Provide written notice to the Borrower specifying the default and outlining curative actions that may be taken. The notice must include:

(A) A statement that, if the Mortgage remains past due on monthly installment payments or the Borrower fails to cure any other material default within sixty (60) days from receipt of the notice, the Lender may accelerate the amounts due under the Mortgage, requiring payment of the entire loan;

(B) A statement of the qualifications for Forbearance Relief from the Lender, if any, and that Forbearance Relief may be available from the federal government, along with the names and addresses of government officials to whom further communication may be addressed for said Forbearance Relief, if applicable;

(2) Make reasonable efforts to arrange a face-to-face interview with the Borrower, including at least one in-person visit to the mortgaged property to meet with the Borrower; and

(3) Document that it has made at least one phone call to the Borrower (or to a phone designated by the Borrower as able to receive and relay messages to the Borrower) for the purpose of arranging a face-to-face meeting.

(4) If an attempt to reach a Borrower by phone is not successful, then Lender shall send a letter via certified mail, return receipt requested, to Borrower's last known address, with a copy to the property, seeking to make arrangements for a face-to-face meeting.

(c) When a Borrower remains in default for at least sixty (60) days from the receipt of written notice of such default by Borrower and at least ten (10) days before initiating a foreclosure action, the Lender shall, in writing sent by certified mail, return receipt requested, with a copy posted prominently on the Residential Unit or other structure on the mortgaged property, with a copy provided to the SIHA, advise the Borrower:

(1) If the lender intends to report the information to credit reporting agencies, that information regarding the loan and default and/or delinquency shall be reported to credit reporting agencies;

(2) Of the existence and availability of homeownership counseling opportunities or programs offered by the Lender, if any;

(3) Of any available assistance regarding the Mortgage or default thereon;

(4) Of the Lender's right to seek Foreclosure; and

(5) Of the Lessor's Right of First Refusal pursuant to Section 15.3.2.050 of the Pueblo de San Ildefonso Code.