Can the lender continue to collect late fees and interest during a foreclosure sale?

In Arizona, the answer to this question is generally no. According to the Arizona Department of Financial Institutions, lenders cannot collect late fees or increase interest rates during a foreclosure sale. The lender must also provide the borrower with written notice of the foreclosure sale so that the borrower is aware of the time and place of the sale. The notice must also include any additional fees associated with the sale. However, lenders are allowed to collect payments that were due before the foreclosure sale took place. In addition, lenders can also collect on the loan even after a foreclosure sale has occurred. This means that the amount owed on the loan can continue to accrue due to late fees or additional interest after the sale has been completed. Therefore, lenders may pursue additional legal action, such as seeking a judgment against the borrower, to collect the amount remaining on the loan. Overall, in Arizona, the answer to whether or not lenders can collect late fees and interest during a foreclosure sale is generally no. The lender must provide written notice of the sale to the borrower and can collect payments that were due prior to the sale. However, lenders are still allowed to pursue additional legal action to collect any unpaid amounts that may remain after the sale has concluded.

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Can the lender continue to collect late fees and interest during a foreclosure sale?

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