Document background
The Notice of Intent to Foreclose Letter is a critical legal document used in the Nigerian mortgage industry when a borrower has defaulted on their mortgage payments. This notice is typically issued after previous attempts to resolve the default have been unsuccessful and before formal foreclosure proceedings begin. It must comply with Nigerian banking regulations, property laws, and consumer protection requirements, particularly those outlined in the Land Use Act and Mortgage and Property Law. The document serves multiple purposes: it formally notifies the borrower of the default, provides a final opportunity to cure the default, outlines the specific amounts owed, and explains the legal consequences of non-payment. It also acts as evidence that the lender has fulfilled their legal obligation to provide adequate notice before initiating foreclosure proceedings.
