posted on Mar, 30 2014 @ 04:57 PM
Bank told to pay $3.2M for 'shocking'
ALBUQUERQUE, N.M. (AP) — A New Mexico judge has issued a $3.2 million judgment against Wells Fargo for foreclosing on a man's home after
his death, even though he had purchased an insurance policy through the bank that would have paid the remaining balance on his mortgage.
Dollens had purchased an accidental death mortgage insurance policy for his Rio Rancho home that was marketed by Wells Fargo and issued by Minnesota
However, Brickhouse said Wells Fargo disregarded the terms of the insurance policy before moving to foreclose.
That, the judge said, was a breach of the covenant of good faith and fair dealing. She said the bank's "unwillingness and failure" to hold off on
the foreclosure even when requested to do so by the insurance company was "shocking."
Mr. Dollens bought an insurance policy to pay for the balance of his mortgage in the event of his death.
Who sold him the policy? The same bank, Wells Fargo, who held his mortgage.
Seems like there might be a small conflict of interest but ok.
Mr. Dollens then passes away and everything is taken care of, right? WRONG.
His death was reported immediately to Minnesota Life and to Wells Fargo to make a claim under the policy. But instead of seeking funds from
the insurance policy, Wells Fargo sent notices about the loan being in default and referred the loan for foreclosure in December 2010.
The foreclosure proceeded despite requests from representatives of the estate to hold off pending the insurance payout.
So the same banksters who sold him the insurance, tried to take his home knowing that he was covered...
Wow. Just WOW.