Krell v. National Mortgage Corp.

Andrews, Judge.

National Mortgage Corporation (National) held mortgages over Krell’s residence and a separate rental property owned by Krell. Both mortgages were insured by the United States Department of Housing & Urban Development (HUD) under the National Housing Act (12 USC § 1701 et seq.). See 12 USC § 1709.

Krell defaulted on both mortgages by failing to make timely monthly payments. National refused to accept Krell’s tender of partial payment on amounts due, insisting that payment be made on each mortgage for the full amount of the monthly payments due plus late charges. The mortgages…