- Who sends it
- The creditor or the creditor's assignee on your home loan, usually through your servicer
- What it starts
- At least 30 days after delivery to cure before a court action, acceleration or foreclosure
- Do this first
- Find the cure date and the amount, and call the person named for disputes if anything looks wrong
What this document is in New Mexico
NMSA § 58-21A-6(A) says that before an action is filed to foreclose or collect money due on a home loan, the creditor "shall deliver to the borrower a notice of the right to cure the default." The Act covers a loan on your 1 to 4 family principal residence that is not over the Fannie Mae conforming loan limit and is not a reverse mortgage (New Mexico state file).
The notice must tell you:
- The nature of the default.
- Your right to cure by paying the amount required. If the amount will change within 30 days because of daily interest or late fees, the notice must give you enough information to figure it out on any day.
- The date by which you can cure to avoid a court action, acceleration and foreclosure, which cannot be less than 30 days after the notice is delivered, and the name, address and phone number of the person to pay.
- That if you do not cure by that date, the lender may demand the full balance and start a foreclosure.
- The name, address and phone number of a person to contact if you disagree that you are in default or with the amount.
What it does and does not mean
- It is not a lawsuit. The lender cannot file until the cure date passes.
- The lender must accept any partial payment you make or offer in response to the notice (NMSA § 58-21A-6(A)(2)).
- Even after the cure date, you can cure and reinstate at any time before title is transferred by foreclosure. Curing undoes the acceleration and puts you back as if the default had not happened (NMSA § 58-21A-6(B)).
- Covered home loans must be foreclosed in court, where you can argue there was no default and raise Home Loan Protection Act violations (NMSA § 58-21A-6(E), per the New Mexico state file).
The deadline it starts and how to count it
Count at least 30 calendar days from the date the notice was delivered to you, not the date it was written. The notice itself must state the cure date. Federal rules also generally bar a foreclosure filing until you are more than 120 days behind (12 C.F.R. § 1024.41(f)).
Fee limits on a cure (NMSA § 58-21A-6(C)): you owe no attorney fees for the default incurred before or during the 30-day period, no more than $100 in attorney fees after it and before a foreclosure is filed, and only reasonable fees actually incurred after filing.
What to do this week
- Write the delivery date and the cure date on your calendar. Keep the envelope.
- Check the amount. If it includes attorney fees inside the 30-day period, write to the dispute contact named in the notice.
- Pay what you can. The lender must accept partial payments made in response to the notice. Keep proof of every payment.
- Ask your servicer for a loss mitigation application and send it back complete.
- Call New Mexico Legal Aid at 1-833-545-4357 or the New Mexico Courts HelpLine at 855-268-7804 with questions.
- Read how to stop foreclosure in New Mexico.
State help and scam warnings
New Mexico's Mortgage Foreclosure Consultant Fraud Prevention Act bars a foreclosure consultant from collecting any fee until every promised service is done, and lets you cancel a consultant contract until midnight of the third business day after signing (NMSA §§ 47-15-3 to 47-15-8, per the New Mexico state file). More help is on the New Mexico foreclosure help page.
- Never sign over your deed or a power of attorney to a consultant. The Act bans consultants from taking them.
- A HUD-approved housing counselor can help for free.
The rest of the New Mexico process
See how foreclosure works in New Mexico, the timeline, ways to stop it and free help in New Mexico, or read the national guide to this letter.
Common questions
How long do I have to cure after a New Mexico right-to-cure notice?
At least 30 days after the notice is delivered. The notice must state the exact date (NMSA § 58-21A-6(A)(3)).
Does my New Mexico lender have to take a partial payment?
Yes, if you make or offer it in response to the notice. NMSA § 58-21A-6(A)(2) says the creditor shall accept any partial payment made or tendered in response.
Can I still catch up after the New Mexico cure date passes?
Yes, on a covered home loan. You can cure and reinstate at any time before title is transferred by foreclosure (NMSA § 58-21A-6(B)). Fees can be higher after a case is filed.
Other New Mexico letters
- Summons and Complaint for Foreclosure (with Plaintiff's Certification of Pre-Filing Notice)New Mexico home foreclosures happen in district court. The lawsuit starts when the lender files a complaint and you are served with a summons, which gives you 30 days to respond with an answer or motion. For your home, the lender must also file a certification that it sent you a pre-filing notice of your options.
- Order of Referral to the Foreclosure Settlement ProgramIn many New Mexico residential foreclosure cases, the district court sends the case to its Foreclosure Settlement Program. The case is put on hold while a neutral settlement facilitator helps you and the lender explore options. You must turn in the Homeowner Information Form by your deadline and complete the lender's loss mitigation application.
- Notice of Sale (foreclosure sale under judgment, usually by a special master)After a New Mexico judge enters a foreclosure judgment, the home is sold at a public sale, usually run by a special master. The sale cannot happen until at least 30 days after the judgment, and during those 30 days you can stop it by paying the full judgment to the court clerk. Notice must be published for 4 weeks.
- Order Confirming Special Master's Report (order confirming sale)After a New Mexico foreclosure sale, the judge reviews the special master's report and files an order confirming the sale. The date that order is filed starts your redemption period, which is 9 months unless your mortgage shortens it, never to less than 1 month. During that time you can buy the home back.