§ 953-A — Real property tax escrow accounts for non-mortgagors

§ 953-a. Real property tax escrow accounts for non-mortgagors. 1. Any\nmortgage investing institution may establish real property tax escrow\naccounts for non-mortgagors. Such accounts shall be subject to the\nprovisions of this title, except as otherwise provided by this section.\n 2. A mortgage investing institution may enter into agreements with\nnon-mortgagors to provide for payment of real property taxes by such\nmortgage investing institution on behalf of such non-mortgagor from\nfunds on deposit in a real property tax escrow account.\n 3. Mortgage investing institutions shall not be required to pay the\nminimum rate of interest required by subdivision two of section nine\nhundred fifty-three of this article on real property tax escrow accounts\nof non-mortgagors.\n 4. If the non-mortgagor shall fail to make required payments to a real\nproperty tax escrow account within twenty-one days after the date such\npayment is due, the mortgage investing institution may terminate the\naccount upon written notification to the non-mortgagor. Such written\nnotification shall include but not be limited to the following\ninformation: (a) that the real property tax escrow account has been or\nwill be terminated (whichever is applicable); and (b) the non-mortgagor\nwill be obliged to pay to the appropriate collecting officers taxes\nbecoming due thereafter. The written notice shall also set forth the\neffective date of the termination and shall provide the name, address\nand telephone number of each collecting officer or office and advise the\nnon-mortgagor to contact such officer or office for tax billing\ninformation. Upon termination, the mortgage investing institution shall\nrefund any and all funds remaining in such account to such\nnon-mortgagor.\n