Fridman v. NYCB Mortgage Co., LLC

Federal 7th Circuit Court
Civil Court
Truth in Lending Act
Citation
Case Number: 
No. 14-2220
Decision Date: 
March 11, 2015
Federal District: 
N.D. Ill., E. Div.
Holding: 
Reversed and remanded
Dist. Ct. erred in granting defendant’s motion for summary judgment in action alleging that defendant’s failure to credit plaintiff’s mortgage payment on day she authorized said payment on defendant’s website violated Truth in Lending Act (TILA). Under TILA, electronic authorization for mortgage payment entered on mortgage servicer’s website is “payment instrument or other means of payment,” such that defendant must credit said payment on day customer authorized said payment. Ct. rejected defendant’s contention that “day of receipt” of payment for purposes of TILA was day that it actually received funds from customer’s bank. (Dissent filed.)