Printer Friendly

DIME SAVINGS BANK OF NEW YORK MAKES AVAILABLE JOB LOSS MORTGAGE PROTECTION INSURANCE

 -- First in New York to Cover New Customers Under Single Policy --
 NEW YORK, April 29 /PRNewswire/ -- The Dime Savings Bank of New York, FSB (NYSE: DME) today announced that customers applying for a mortgage on a home purchase during the month of May will benefit from a new Job Loss Mortgage Insurance Policy purchased by the Bank from Great American Insurance Group.
 Under the policy, Great American will insure The Dime for up to three monthly mortgage payments of qualified customers who become involuntarily unemployed in the six month period following the closing of their loan. Among other conditions, individuals must be eligible for unemployment benefits for The Dime's policy to apply.
 The policy pays The Dime the eligible customer's entire monthly mortgage obligation, including principal, interest, taxes and insurance of up to $3,500 a month for up to three months. The Dime is the first bank in New York State to be issued a policy of this kind.
 "This insurance coverage is in direct response to customer needs revealed in our homebuyers survey (American Dream 1992: Diminished Expectations), released last Fall," said David J. Totaro, chief marketing officer of The Dime. "Our survey revealed that almost one in four New York metropolitan residents cited a major obstacle to home ownership was the lack of job security. Our Job Loss Mortgage Protection coverage addresses this issue. Now, our customers can enjoy peace of mind that their mortgage payments are protected for up to three months if they should lose their job."
 Great American Insurance Company has issued this credit insurance policy to The Dime on an interim basis, pending submission and approval of a group credit unemployment policy by insurance regulatory officials.
 Currently, The Dime's own coverage will apply to new purchase mortgage customers who apply for financing during May if they have no knowledge of an impending layoff, are between the ages of 18 and 66, work more than 30 hours a week, are not self-employed, do not own more than 25 percent of their company's stock or do not work for a family member. The Dime's coverage applies to joint mortgagors proportionately to each borrower's contribution to the total income, when each contributes at least 25 percent to the mortgage payment. The coverage applies only to The Dime Savings Bank of New York and is not available in New Jersey or Connecticut.
 The involuntary unemployment situations covered include layoff, job elimination, strike, lock-out, and unemployment of seasonal workers if the unemployment occurs during the normal working season.
 "The national unemployment rate has remained at 7.0 percent in the last two months, after several months of steady decline," Mr. Totaro said. "And New York City's unemployment rate is well above national figures. According to the Department of Labor, the City's unemployment rate was 9.6 percent in March -- and the City's 13.4 percent unemployment rate in January was the highest rate posted since the days of the Depression.
 "According to the `American Dream' survey, 25 percent of the households in the metropolitan area experienced a job loss or reduction in wages in the past 12 months. And, just as importantly, 25 percent expect that a household member will lose his or her job or earn lower income during 1993. The New York metropolitan area is our core market, and we are continuously seeking to provide products that meet metropolitan residents' special needs," Mr. Totaro concluded.
 Job Loss Mortgage Protection covers all of The Dime's mortgage products including fixed- and adjustable-rate mortgages, first-time homebuyer mortgages and Jumbo loans. Great American will also pay The Dime up to three months mortgage obligations in the event that property tax liens which occur in the six month period result in the customer's inability to pay their mortgage.
 Founded in 1859, The Dime is the largest thrift institution in the East and operates 34 retail banking offices in New York and eight in New Jersey.
 -0- 4/29/93
 /CONTACT: David J. Totaro of The Dime Savings Bank of New York, FSB, 212-326-6965/
 (DME)


CO: Dime Savings Bank of New York, FSB ST: New York IN: FIN SU: PDT

TM-LD -- NY113 -- 2917 04/29/93 17:31 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 29, 1993
Words:697
Previous Article:BOB HERBERT IS NAMED AN OP-ED COLUMNIST FOR THE NEW YORK TIMES
Next Article:USE OF ELAN'S PATCH DOUBLES QUIT RATE AT ONE YEAR
Topics:


Related Articles
DIME TO OUTSOURCE ITEM PROCESSING TO NATIONAR
DIME SAVINGS BANK REPORTS 1991 FOURTH QUARTER RESULTS
/C O R R E C T I O N -- DIME SAVINGS BANK/
DIME SAVINGS BANK REPORTS 1992 SECOND QUARTER PROFIT
DIME SAVINGS BANK TO FILE REVISED CAPITAL PLAN
DIME SAVINGS BANK ESTABLISHES FUND-RAISING DRIVE FOR HURRICANE VICTIMS IN SOUTH FLORIDA
DIME SAVINGS BANK TO SELL ALBANY AND UTICA AREA BRANCHES TO ALBANK FINANCIAL CORPORATION
North American Mortgage $335 Million CP & $75 Million MTNs On FitchAlert Evolving - Fitch Financial Wire -
Dime Statement Regarding 'No Talk' Provision.
North Fork Acknowledges Substantial Risks in Its Proposal for Dime.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters