5 things that can happen during a wrongful foreclosure

On Behalf of | Nov 29, 2016 | Asset Forfeiture

When a foreclosure is carried out on the wrong property, it often has to do with mistakes in the records or mistakes by those sent to carry out the process — such as simply driving to the wrong house. This can lead to all sorts of issues as the wrongful foreclosure proceeds, including the following:

1. They can lock your doors. Some people have claimed to have found padlocks keeping them out of the house, while others say the bank changed the locks on the home.

2. They may cut the power. One man sued when he said the food for a party he was throwing spoiled after power to the home was turned off.

3. They may even try to sell the house. One couple was not at their condo when it was mistakenly repossessed, and the lender then attempted to sell the condo out from under them.

4. They can take your possessions. One woman said everything she owned — from clothes to furniture — was removed from her apartment when they came to seize it, and she sued for $100,000 to $200,000 to buy back her possessions.

5. You may never have had an account with the bank. One man got foreclosure notices even though he had bought his home with cash and had never even taken out a mortgage. Another man saw Bank of America try to reclaim his home even though he’d never been a member or gotten a mortgage through them.

When this happens, it can be traumatic and confusing. As you sort through everything, make sure you know exactly what legal rights you have. Don’t assume you can’t do anything, even when squaring off against huge financial institutions.

Source: The Week, “Repossession hell: 6 extremely ‘wrongful’ foreclosures,” accessed Nov. 29, 2016

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