Mortgage works for nearly 30 years until Chase takes over
Chase Home Finance overcharged the bank account of a retired Massachusetts couple, ruined the couple’s credit and threatened to foreclose on them over disputed missed payments, according to a class action in Worcester Superior Court.
Patricia and Carlton Maggs say they never had any problem paying the mortgage on their home in Westminster, Mass., which they bought in 1977, until Chase replaced Washington Mutual as their mortgage servicer in October, 2009.
Under the Maggs arrangement with WaMu, the bank automatically withdrew $694 from the Maggs’ checking account every month for monthly mortgage payments, according to the complaint.
The Maggs say WaMu agreed not to take more than the agreed upon amount from the Maggs’ account on any one month without first obtaining the couple’s permission.
But in February 2010 – without first notifying or receiving consent from the Maggs – Chase withdrew $1,667 from the Maggs’ checking account, causing “catastrophic damages to the plaintiffs, who could not replace the approximately $1,000 excess funds that should not have been taken,” according to the complaint.
Bad bad Chase, Ineptitude | admin December 13, 2010
