Section 274-A. Certificate of principal amount unpaid on mortgages of real property

1. The holder of a mortgage upon real property  shall  execute
  and  deliver  to the owner of the real property upon which such mortgage
  is a lien a written instrument setting forth the amount of the principal
  of said mortgage remaining unpaid, the date to which interest  has  been
  paid,  and  the amounts, if any, claimed to be unpaid upon said mortgage
  for principal and interest, itemizing the same, provided, however,  that
  prior  written demand by registered or certified mail has been made upon
  the holder of such mortgage by such owner of the real property and  that
  such  owner  of  the  real property shall have executed and delivered to
  another a written contract to convey, or shall have received  a  written
  commitment  to  make  a  mortgage  loan  upon,  the  real property or an
  interest therein. The written instrument hereinbefore  required  of  the
  holder  of  the  mortgage  shall  be  a  certificate  duly  executed and
  acknowledged in the  same  manner  as  required  by  law  to  entitle  a
  conveyance  of real property to be recorded, except that a bank, savings
  bank, private banker, trust company, savings and loan association or any
  other banking organization, as defined in the banking  law,  a  national
  bank   or   trust   company   or   any   other   federally-chartered  or
  federally-regulated  savings  and  loan  association  or  other  banking
  institution  and  an  insurance company duly organized or licensed to do
  business in this state under the insurance law of  this  state  and  the
  state  of  New York, or an agency thereof and a political subdivision of
  the state of New York or an agency thereof may,  in  lieu  of  the  said
  certificate,  furnish  a  letter signed by a duly authorized officer, or
  employee or agent, containing the information required to be  set  forth
  in  such  certificate. An owner of real property who shall have complied
  with the foregoing requirements and who  shall  not  have  received  the
  written instrument from the holder of the mortgage thereon within twenty
  days  after  such  compliance  shall  be entitled to petition a court of
  competent jurisdiction  for  an  order  requiring  such  holder  of  the
  mortgage to comply with this section.
    2.   (a)   The  mortgagee  of  an  owner-occupied,  one-to-six  family
  residential structure or residential  condominium  unit,  shall  deliver
  within  thirty  days,  any  mortgage  related documents to an authorized
  individual making a bona fide written demand  for  such  documents.  The
  mortgagee shall not charge for providing the mortgage-related documents,
  provided,  however,  the  mortgagee  may  charge  not  more  than twenty
  dollars, or such amount as may be fixed by the banking board,  for  each
  subsequent  payoff  statement  provided  under  this subdivision. If the
  mortgagee fails to deliver the mortgage-related documents, the mortgagee
  shall be liable for the actual damages to the  mortgagor  by  reason  of
  such  failure.  In  computing  actual damages the court may consider the
  actual rate of interest on the mortgage debt and current prevailing rate
  or rates of interest on comparable debts. However, actual damages do not
  include pain and suffering, mental or emotional distress  or  the  like.
  The  replacement  costs  of  a  lost  abstract  of  title required to be
  delivered hereunder, may be deducted from the amount required to satisfy
  the mortgage.
    (b) When used in this section:
    (i) "Authorized  individual"  means  the  mortgagor,  the  mortgagor's
  attorney,  or the attorney representing a banking organization which has
  agreed to make a loan secured by the same  real  property  securing  the
  mortgage for which the mortgage related documents have been requested.
    (ii)  "Mortgagee"  means  (1)  the  current  holder of the mortgage of
  record or the current holder of the mortgage, (2)  any  person  to  whom
  payments are required to be made and (3) their personal representatives,
  successors and assigns.

    (iii) "Bona  fide  written  demand"  means a written demand made by an
  authorized individual in connection with a sale or  refinancing  of  the
  mortgaged  property or some other event where the mortgage is reasonably
  expected to be paid  off  or  assigned.  Such  demand  shall  either  be
  delivered  personally,  or  by  registered  or  certified  mail, postage
  prepaid, return receipt requested. The demand shall include the names of
  the mortgagor and mortgagee, the address of the mortgaged property, loan
  number, the date of the mortgage  or  the  date  it  was  recorded,  the
  mortgage related documents demanded and the proposed payoff date or date
  of  assignment  of the mortgage, if applicable. If the demand includes a
  request for  the  abstract  of  title,  the  demand  shall  include  the
  agreement  by  the mortgagor to pay for a replacement abstract of title,
  the cost of which may not exceed the actual  replacement  cost  of  such
  abstract of title, in the event that the mortgage is not paid off or the
  abstract  of  title  is  not returned within thirty days of the proposed
  payoff date. Such demand shall include the following in capital letters:
                "THIS DEMAND IS MADE UNDER SECTION 274-a OF THE
               REAL PROPERTY LAW. FAILURE TO COMPLY WITH THIS
                   DEMAND MAY RESULT IN SEVERE PENALTIES."
    (iv) "Mortgage-related documents" means:
    (1) the abstract of title for the real property securing the  mortgage
  if  such  document is in the possession and control of the mortgagee. In
  the event that the mortgage is not paid off, the  authorized  individual
  receiving the abstract of title shall within thirty days of the proposed
  payoff  date  return  the  abstract  of  title to the mortgagee or other
  person so designated by the mortgagee; upon a failure to so  return  the
  abstract  of  title,  the mortgagee may obtain a replacement abstract of
  title, the cost of which may not exceed the actual replacement  cost  of
  such abstract of title and which shall be paid by the mortgagor;
    (2)  a  payoff  statement  setting  forth the balance of the mortgage,
  including principal, interest and other charges assessed pursuant to the
  loan documents, together with a per  diem  rate  for  interest  accruing
  after  the  date  to  which  the balance has been calculated. The payoff
  statement may, in the event that the statement reflects  payments  which
  may  have  not  yet cleared, require the authorized individual to obtain
  from the mortgagee a day of payoff verification of the payoff statement.
  A payoff statement requiring day of payoff verification  shall  include,
  in addition to the address of the mortgagee, the telephone number of the
  mortgagee  and,  if  a  banking organization or corporation, the name or
  department, and its telephone number and facsimile phone number.  Unless
  the  payoff statement requires a day of payoff verification, a mortgagee
  furnishing a payoff statement shall be obligated to make its best effort
  to furnish a satisfaction of mortgage upon receipt  of  the  amount  set
  forth  in  such  statement  unless such person subsequently notifies the
  authorized individual of an error in the payoff  statement.  The  payoff
  statement furnished by a mortgagee shall include a name or department in
  addition  to  the address of the banking organization or corporation for
  use in connection with preparation of  an  affidavit  under  subdivision
  five of section nineteen hundred twenty-one of the real property actions
  and proceedings law;
    (3)  if  requested  and  if  the  title  insurance  policy  is  in the
  possession and control of the mortgagee, a copy  of  such  policy  or  a
  statement  setting  forth the name of the insurer and the number of such
  policy.
    (v) "Banking organization" shall have the same meaning as provided  in
  subdivision  eleven  of section two of the banking law and shall include
  any institution chartered or licensed by the United States or any state.