Layton man files lawsuit against Chase bank for holding money

Layton man files lawsuit against Chase bank for holding money

www.ksl.com

LAYTON -- One Utah man is taking on the nation's second largest bank after he says the company held $472,500 of his money for months without applying it to his home mortgage loan.

In December 2009, David Longfellow walked into a Layton Chase Bank branch to pay off the mortgage Chase Home Finance held on a home he had built. Longfellow handed the teller a cashier's check for $472,500 to apply to his loan.

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Well even though I don't have a lot of money to keep in the bank, this is just another reason why I use a Local Credit Union.
This story does a good job of making Chase look like the bully. When banks become so big that they no longer care to appease the customer, this becomes a problem.
David Longfellow made some simple requests and the made it an up hill battle for him.
Of course Chase Bank is trying to repair the situation ....but sometimes it's too little too late.

Not to mention ...Chase bank = J.P. Morgan which then basically = Rothschild. Thumbs down.

www.ksl.com
(visit the link for the full news article)

This is really interesting because if this guy really had half a million dollars in wealth, that should make him a "preferred customer" and to see him get stonewalled and get the runaround, should cause any normal person to stop and take a really long hard look at this corporate institution and it's policies.

Somehow I feel we are missing part of the story though, something just doesn't seem right here.
I will have to look into it deeper to see if I can find anything amiss.

"They're asking me when I'm supposed to make my payment. I said, ‘I've already made my payment. You don't have a record of that?' She says, ‘We have a record of a payment of $472,500. But it's in suspension.' "

As weeks turned into months, Longfellow said he began getting phone calls from the debt collection division of Chase. "It would be one right after another. I would talk to them on the home number and hang up the phone. Two minutes later, they'd call my business number. Then an hour later, they'd start all over again," he said. Frustrated, Longfellow said he asked the customer service representatives repeatedly to return the money.

"I told them if you're not going to apply it to the loan then send it back to me. They said, ‘Well, we can't do that.' Why not? And they'd never tell me!" Longfellow said.

This is really really messed up, for real.

What the heck??

reply to post by muzzleflash


I agree ...seems like we are missing a piece of the story.

but reading through some of the comments on that story .....you def get the feeling that pretty much everyone is fed up with the large banks.

Here is one comment

MrDissident posted 8 hours ago You can say that again. I had Chase purchase my mortgage and then call and tell me that unless I followed their policy on my homeowners insurance they would cancel my policy and insure me instead at a higher rate. When I showed them mine was better and less expensive than theirs they told me to follow their policy or else. So I had to refinance to get rid of them. But I had the last laugh when I let them know who really had a say in things. I closed out some large amounts with Chase that I manage and moved them to a much better choice....Credit Unions. I have grown tired of large impersonal banks which include BofA, Chase, and Wells Fargo.

If only we did NOT bail them out a couple years ago ....that would have been the best thing that could have happened to us. ...but that's a conspiracy in itself ...thread for another day.

reply to post by dplum517


Wow... There better be some type of law enforcement investigation into the banks behavior as well. The guy should have filed a lein against the bank until he received his money.

reply to post by dplum517


I saw a poster/sign the other day that made me laugh, it said something to the effect of :

Capitalism works - Let the banks fail!

Something like that. I thought it was pretty cool.
The point I believe was that the bail-outs of private corporations is essentially anti-capitalism in just about every way you can conceive of. I have a feeling that too many people misunderstand this and end up thinking that our current plutocracy-corporatism system is actually 'capitalist' when in reality is is nothing like that at all.

My husband is an attorney and he does ALOT of work on wrongful foreclosure. You would be amazed at how often this happens. The banks really are THAT DUMB. I swear monkeys are running the place, just like in that one commercial. They even sometimes refuse full payment. It is ludicrous. So yeah from my perspective and experience this probably happened just as it reads. My DH is working on a similar case right now and the bank is willing to "Make right". At least their attorneys are.

reply to post by Xcathdra


KSL is pretty good at following up on stories. So, lets hope the lawsuit makes it through the legal system and that he actually wins the suit.


@muzzle ..... well said man ..... people have lost site of what Capitalism should be.

I mean ....times are changing and we must change with the times ...but certain principles are everlasting.

Corruption is gonna be tough to beat.

See the banks are so LUCKY i don't have any money up in their S*** no more, because if they were trying to hold on to my money and then told me they weren't letting it go, I'd have no choose but to get it back the "hard" way lol...

Who wants to do business with a bank that requires you file a multi-million dollar lawsuit in order to get anything done...

I mean 400+K is a lot of cheese.. But they just decided to hold on to it and hound the guy with debt collections...

Honestly I wouldn't drop the suit either... They need to be held accountable for all the damage their negligence caused.

Maybe somebody didn't do the IRS paperwork?

IRS FAQ on payments over $10,000

Still, when dealing with that much money, banks should have experience in getting all that taken care of. It shouldn't be considered the customer's fault.

reply to post by pauljs75


Good Point.

I wonder if he went through the proper Tax procedures when he gave them that cashiers check.