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

In Florida, the lender can continue to collect late fees and interest during a foreclosure sale. This is because the foreclosure sale is not a payment system but a means of taking the property away from the borrower. This means that any unpaid late fees and interest must still be paid. However, the lender cannot collect any late fees or interest if the borrower has secured a loan modification. For a loan modification, the lender must agree to waive any late fees and interest. Once the loan modification is approved, the lender’s ability to collect late fees and interest is no longer an option. If the loan is foreclosed on and the borrower does not pay what is due, the lender can elect to include the unpaid late fees and interest in the foreclosure deed. This means that the borrower is still legally responsible for the amount due and the mortgage foreclosure will be treated as a sale for the amount due plus the unpaid late fees and interest. In summary, the lender in Florida can still collect late fees and interest on a foreclosure sale, unless the borrower has secured a loan modification which the lender has agreed to waive any late fees and interest. In this case, the unpaid late fees and interest will be included in the foreclosure deed and the borrower is still legally responsible for the amount due.

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

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