- Who sends it
- The holder of your mortgage note, by registered mail, return receipt requested
- What it starts
- Nothing new on its own; it keeps the lender's right to sue for a shortfall for 2 years after the sale
- Do this first
- Save the envelope and green card, write down the date, and call legal aid about the coming sale
What this notice is in Massachusetts
M.G.L. c. 244, § 17B says a lender cannot bring a suit for a deficiency after a foreclosure sale unless it first mailed you a notice of its intent to foreclose and of your possible liability. The statute gives the form and its heading: "Notice of Intention to Foreclose and of Deficiency After Foreclosure of Mortgage." It names the note you signed and says you may be liable in case of a deficiency in the proceeds of the sale.
A deficiency is the gap between what you owe and what the home sells for at auction, after costs.
How the deadlines count
- 21 days: the notice must be mailed by registered mail, postage prepaid, return receipt requested, to your last address known to the lender, not less than 21 days before the sale date. Count back from the sale date.
- 30 days: within 30 days after the sale, the lender must sign a sworn affidavit that it mailed the notice. The affidavit counts as first-level proof of mailing.
- 2 years: a deficiency lawsuit must start within 2 years after the foreclosure sale, under M.G.L. c. 244, § 17A.
- Any agreement you signed before a lawsuit to give up these rules is void under M.G.L. c. 244, § 17C.
What it does and does not mean
- It is not a lawsuit or a bill. No one has sued you yet.
- It does not mean the lender will sue. It means the lender kept the option.
- If the lender never sent it, or sent it late, it cannot bring a deficiency suit. Keep proof of when it arrived.
- It usually arrives around the same time as the Mortgagee's Sale of Real Estate notice, so treat it as a warning that the auction is near.
What to do this week
- Keep the notice, the envelope and any return receipt card. Write down the date you received it and the sale date.
- Call free legal aid or the Mass Bar Lawyer Referral Service at (617) 654-0400 about options before the sale.
- If you are trying a short sale or deed in lieu, ask for a written release of any remaining balance. No Massachusetts statute settles the shortfall in those deals.
- If the auction is within 7 days, call the Division of Banks Consumer Assistance Unit at (617) 956-1501.
- Read Massachusetts deficiency judgments and our national deficiency letter page.
The rest of the Massachusetts process
See how foreclosure works in Massachusetts, the timeline, ways to stop it and free help in Massachusetts, or read the national guide to this letter.
Common questions
How long does a Massachusetts lender have to sue me for a deficiency?
Two years after the foreclosure sale, under M.G.L. c. 244, § 17A, and only if it mailed this notice at least 21 days before the sale and signed an affidavit of mailing within 30 days after.
What if I never got this notice before my Massachusetts sale?
The lender must have mailed it by registered mail at least 21 days before the sale. If it did not, section 17B bars a deficiency suit. The lender's affidavit is evidence it mailed the notice, so keep anything that shows otherwise and talk to a lawyer.
Can a Massachusetts lender take my wages for a deficiency judgment?
Only after it wins a lawsuit. Massachusetts protects the greater of 85 percent of your gross wages or 50 times the higher of the federal or state hourly minimum wage each week.
Other Massachusetts letters
- Right to Cure Notice (90-day notice)Before a Massachusetts lender can call your whole loan due or start a foreclosure for missed payments, it must send you this notice and wait at least 90 days. If you pay the past-due amount by the cure date, the lender cannot speed up the loan for that default. You get this right once in any 5-year period.
- Right to Request a Modified Mortgage Loan NoticeIf your loan has certain higher-risk features, Massachusetts law makes the lender try to avoid foreclosure before it can advertise a sale. This notice tells you that you can ask for a modified loan. You have 30 days after it is delivered to send back your choice.
- Servicemembers Complaint and Order of NoticeA Servicemembers case is a short court case a lender files, usually in the Land Court, before it forecloses. It decides only whether an owner has military protections under federal law. It is not the foreclosure itself, but it is a sign that a sale notice may come soon.
- Mortgagee's Sale of Real Estate (notice of sale)This is the notice of the foreclosure auction. It must run in a local newspaper once a week for 3 weeks, the first at least 21 days before the sale, and be mailed to you by registered mail at least 14 days before. In Massachusetts the auction itself ends your right to redeem.
- Notice to Quit and Summary Process Summons and ComplaintAfter a Massachusetts foreclosure auction, the new owner must use a court eviction case, called summary process, to remove you. It usually starts with a written notice to quit, then a Summary Process Summons and Complaint. You cannot be locked out without a court judgment.