Finance

Under NJ law, a mortgage servicer who fails to provide timely payoff statements or releases of satisfied mortgages may be subject to:

ANo penalty as mortgage servicing is federally regulated only
BPenalties under NJ's Mortgage Servicers Licensing Act and potential civil liability for delayed releases✓ Correct
COnly a NJREC fine
DOnly a verbal warning from the DOBI

Explanation

NJ's Mortgage Servicers Licensing Act and related statutes impose obligations on servicers to provide timely payoff statements and promptly record satisfaction of mortgage documents, with penalties for non-compliance.

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