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Understanding a Notice of Default

 

Notice of Default:  A letter sent to a defaulting party as a reminder of default on a mortgage. The letter may state a grace period and the penalties for failing to cure the default.

Three Month Notification of Default (90 days):  Within ten (10) days of recording the Notice of Default, a copy must be sent by registered mail to all persons who recorded a Request for Notice.

At least 20 days prior to sale of the property the person authorized to make the sale shall send, by registered mail, a copy of the Notice of Time and Place of the Sale to all persons who recorded a Request for Notification.

The Notice of Default must advise the trustor (borrower) of his/her rights prior to the Trustee's Sale.