Lawsuits Filed Against J.p. Morgan Chase For Illegal Foreclosures On Active Military Personnel

Lawsuits Filed Against J.p. Morgan Chase For Illegal Foreclosures On Active Military Personnel

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I am a patriot, and an avid supporter of our troops who are fighting the War on Terror overseas. So it upsets me to hear about the recent JPMorgan Chase scandal involving illegal foreclosures on active military personnel. In a nutshell: under federal law, most active troops can get the interest rates on their mortgage reduced to 6 percent, and the banks cannot foreclose. This is part of the Service members Civil Relief Act.

This week, Chase announced that it had been charging the wrong interest rates to over 4,000 servicemen who were granted the 6 percent rate, and that error resulted in 14 illegal foreclosures.

Chase announced they would refund about $2 million to the families they overcharged, and that 13 of the 14 improper foreclosures had already been resolved. Now, while 13 of those 14 families (supposedly) have roofs over their heads again, the fact that it happened in the first place is disturbing. Illegal foreclosure is a problem that has come to light recently as a result of the robo-signing scandal.

While Chase officials are declining to give interviews, they released this statement: "While any customer mistake is regrettable, we feel particularly badly about the mistakes we made here."

Good job, Chase. Wer'e very happy to hear that you feel bad about your mistakes. Now what are you going to do about it?

One of the families definitely wants an answer, they've filed what they are hoping will become a class action lawsuit against Chase. In the words of their attorney Dick Harpootlian, a former prosecutor, "Everybody that got caught taking money that wasn't theirs always said they were sorry, offered to give it back and call it even. And that's just not what ought to happen in cases like this."

I can't even imagine what the families of these active duty military personnel had to go through. It's tough enough to be faced with the thought of a loved one serving overseas, without having to worry about losing your home. Not to mention the amount of unnecessary stress that was added to the already difficult lives of the soldiers affected.

There is help if you're facing foreclosure (and not just for military personnel). There are sections that exist in the bankruptcy code that allow you to reorganize your debt, while keeping a roof over your family's head and food on the table.

About the Author:
James Brown is a personal bankruptcy attorney in St. Louis, Missouri. He has filed over 30,000 bankruptcy cases and published many books and articles. You can request his free Missouri and Illinois bankruptcy guide for the best tips on how to prepare for your bankruptcy and find a great bankruptcy attorney.



Article Originally Published On: http://www.articlesnatch.com


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