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It is also lifting the requirement for a property inspection.
But in one case before Ms. Magner, the bank applied payments first to late fees and property inspection charges.
The court noted that the total cost to the borrower for one missed $554.11 mortgage payment was $465.36 in late fees and property inspection charges.
Property inspection fees can be levied every month or so, and fees can be imposed every two months to cover assessments of a home's worth.
Among those expenses are attorney fees, credit report fees, engineer's fees, surveyor fees, mortgage origination and application fees, property inspection charges, title search and insurance charges and any transfer taxes paid.
Fortunately, they insisted on withholding their security deposit from their seemingly delightful contact until after completing a property inspection.
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He made unannounced property inspections, drawing complaints of invasion of privacy.
These include charges for legal work, property inspections, insurance and appraisals.
The companies imposed unauthorized charges such as fees for late payments, property inspections and loan modifications, the commission said.
"This house once had extensive termite damage," said Mr. Zappulla, who owns Zappulla Property Inspections, also in Manasquan, which covers Ocean, Monmouth, Middlesex and Union Counties.
He and other tenants have already received terse letters from the landlord's management company, Staller Associates, instructing them to be ready for property inspections.
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