litigation
confidence high
sentiment neutral
materiality 0.55
Onity Group files declaratory judgment action over New York mortgage servicing fee regulation
ONITY GROUP INC.
- On October 20, 2026, Onity Group filed a declaratory judgment action in the U.S. District Court for the Northern District of New York over a New York mortgage servicing regulation.
- The regulation permits optional expedited payment fees that are “reasonably related to the cost of rendering that service,” but Onity says the phrase has been undefined for nearly seven years.
- Onity says the fees are optional, free payment alternatives are disclosed, and it has voluntarily reduced the fees and eliminated them for online and automated phone payments.
- Onity has received regulator information requests about fee practices for optional payment methods and is engaged in discussions with New York regulators.