Mortgage Relief Checks Go Out, Only to Bounce
A $300 relief check that bounced. The name and other information was redacted by
The New York Times for privacy reasons.
11:25 p.m. | UpdatedA quick look at Minnesota law says this is a criminal offense:
When the bank account is running dry and the mortgage payment is coming due, the phrase “insufficient funds” is the last thing you want to hear.
Now imagine hearing those two words when trying to cash a long-awaited check from the same bank that foreclosed on you.
Many struggling homeowners got exactly that this week when they lined up to take their cut of a $3.6 billion settlement with the nation’s largest banks — lenders accused of wrongful evictions and other abuses.
Ronnie Edward, whose home was sold in a foreclosure auction, waited three years for his $3,000 check. When it arrived on Tuesday, he raced to his local bank in Tennessee, only to learn that the funds “were not available.”
Mr. Edward, 38, was taken aback. “Is this for real?” he asked....MORE
2012 Minnesota Statutes
604.113 ISSUANCE OF WORTHLESS CHECK.