Wells Fargo forecloses on home without a mortgage, seizes owners' possessions

[mnhtnbb]

65. It does depend upon the state. I know our NC State Banking Commissioner

stepped in to help us when our house burned down 5 years ago--and yes, you still
have to make payments on a mortgage when that happens!!!--after our insurance
company tried to buy us off with a big check that was only 2/3 the value of the
balance on the mortgage!!! We sent that check to the bank (Citi--who had just
bought the loan!) they cashed it and REFUSED to apply the amount to our
adjustable rate mortgage (reduce the loan balance upon which the interest
rate was applied). I did everything--including having our attorney contact them--and
they wouldn't even take her calls. I finally discovered a mechanism to file a complaint
with the bank commissioner in NC (which approves the charter allowing them to operate
in the state) and MAGICALLY, I get a call in less than a week from a Citi person saying,
"well, we don't know why this hasn't been fixed"! Right. After I'd spent MONTHS (making
the loan payment and after they'd cashed the insurance check reducing the loan balance
by $270,000+).

It took us more months--fighting with the insurance company (USAA)--to finally get the balance
out of them so we could pay off the mortgage.

I don't know what the NC Bank Commissioner can/will do in the event of foreclosure, but I sure
know they stepped in to help us!