Class Action Lawsuit Against Chase Mortgage Fraud

A class action lawsuit is being filed against Chase Home Mortgage LLC and JPMorgan Chase, N.S. in the U.S. District Court for the Eastern District of New York, charging that defendants broke the agreement and reneged on their promises to modify struggling mortgages. The class action lawsuit is being brought on behalf of the following class of people:

Class Action Lawsuit Against Chase Mortgage

The alleged violations include forcing property borrowers to refinance their mortgages or pay a large sum to the lenders in advance of taking possession of their homes. Chase Home Mortgage also allegedly violated the loan servicing agents’ duties and violated the FHA’s loan-guarantee provision. Further, it is alleged that the defendants failed to develop and submit a timely, cost-effective, feasible, risk-based and verifiable loan modification program to the FHA. In addition, Chase allegedly failed to instruct its loan servicing agents to work with homeowners and to follow the letter of the regulations and rules of the Department of Housing and Urban Development (HUD). The lawsuit further claims that the banks violated the requirements set forth in HUD lawfully provided guidelines and orders.

The lawsuit charges that Chase and others committed illegal acts in violation of the Real Estate Settlement Procedures Act (RESPA).

RESPA outlines the lending parties’ responsibilities to provide notice of property foreclosure and give advance notice to the mortgagors of pending action. Chase was given 21 days notice of its intent to foreclose on homeowners’ home loans in July 2021. Another twist in this story is that the lender who provided notice and requested assistance from the FHA, was not an FHA insured mortgage lender. This was later discovered when a lead agency generated a list of over 1000 non-FHA lenders.

There are many class action lawsuits being filed against Chase and others who have been named in this case.

This class action lawsuit comes as the result of rampant mortgage fraud in the last few years. As reported by the Department of Justice, the number one complaint filed last year was under the fraudulent activity category. In fact, the second leading complaint was over the Chase practices of steering homeowners into FHA loans. Chase has settled the lawsuits against it that fall under these categories; however, it is alleged that it still commits fraudulent activity.

If you find yourself in any situation where you believe that you are a victim of illegal conduct by Chase or one of its underwriters, you should know that there are some very effective remedies available to you.

You should understand the class action lawsuit process and how you can file your own lawsuit against Chase. You should also understand state law and the role that your state attorney general can play in your case. Your state attorney general’s office can help you understand the laws in your specific area and that statutes will apply to your situation and whether or not your state law allows you to file a lawsuit under these laws.

If you have been a victim of Chase Mortgage Fraud and have been able to recover your funds, you may be entitled to receive compensation for mismanaged funds.

If your bank used your original home equity overdraft fees as the basis for denying you a line of credit or refinancing your mortgage, you may be able to recover most, if not all, of your overdraft fees. However, Chase Bank has been known to fight in court to prevent homeowners from recovering this money. If you can prove that you were the victim of illegal conduct and suffered damages as a result, your state attorney general and your class action lawsuit can help you recover your losses.

13 Comments
  1. I would like to join a class action lawsuit against Chase for closing bank accounts and credit cards and bank for life for no legitimate reason. Chase lure me to open their travel rewards credit cards then shut it down and freeze them so I have no access to my travel reward points that I earned. I also paid $200 in annual fees for their credit cards and only get to use them for 2 months. I spent several frustrating days dealing with both branches and phone representatives and got no where. Please advise on how I can join Chase class action lawsuit with similar cases.

  2. I would like to join a class action lawsuit against Chase for closing bank accounts and credit cards and banned me for life for no legitimate reason. I’ve been an ideal customer and had not giving Chase any reason for such rude and ill treatment. Chase lured me to open their travel reward credit cards then shut them down and freezed them so I have no access to my travel reward points that I had earned. I also paid $200 in annual fees for their credit cards and only get to use them for 2 months. I spent several frustrating days dealing with both branch and phone representatives and got no where. Please advise on how I can join a Chase class action lawsuit with similar cases.

  3. Reply
    Deborah Miles-Hardnett November 11, 2021 at 5:34 am

    I believe chase mortgage is fraud My Mortgage went from 65 Thousand to I remember getting 30 thousand they said I own 1000.00 thousand how that happen I don’t know. Please help.

  4. I was defrauded by Chase Mortgage Bank. My home was paid off, but I borrowed using a line of credit in order to stay in business when money became so tight after my customers were struggling with their own bills after the crash of the banks in 2008. I had been in business for over 30 years at that time. I was getting approval for an SBA loan, but they were only funding people “not born here” I was told. I had been begging Chase to help me but was given such a run-around! I provided every bit of paperwork, financial statements for my husband and my business, often several times, after being told that they had not received them!! Then, I wasn’t able to reach the person who was supposedly working on our loan, and the process would begin again! I was the main support for my mentally ill sister and her two children who came to live with us in 1990-91, and it was an incredibly stressful time, trying to run my business, provide financial statements every couple of months, and deal with the death of my mom who had passed away in Dec ‘09 from MS. She also lived in our home, because as sick as she was, the thought of going into a board and care terrified her.

    The stress caused by Chase Bank was devastating.

    I don’t know if anything can be done against Chase but there should be some retribution for the treatment I suffered at their hands.
    I was told several times earlier on that some sort of modification on my line of credit, backed by the equity of our 5 bd 4 bath home in a very desirable location, would assure our approval.

    And then I was having a hard time making the loan payments + interest while nothing was being done on my loan modification until I was given foreclosure notices.

  5. What about the blatant fraud on the Wamu receivership. Those mortgage loans were sold and securitized prior to the receivership. Chase merely serviced my loan while Fannie Mae was the investor. Chase attemped to foreclose using MTGMQ but the fact that they are 2nd lien they sold the loan. They are still attempting to foreclose in 2nd lien. I will file chapter 13 if I have to before I let them take my home. I have evidence that they attempted to conceal by altering my notes and selling them when they never purchased them.

  6. Reply
    Christine MacKenzie April 14, 2022 at 9:47 pm

    I am very interested in this suit against Chase.
    I have all documents proving major fraud committed by “Chase” aka JPM Chase Bank, N.A., Chase Manhattan Bank, Chase Home Finance, LLC.
    I have had a mortgage with “Chase” while using all the names listed above!
    The changed my services 16 times and the loan number was changed 9 times.

    If this suit is still being considered can you please send me information on the status of the case as I believe I could be of much help to the filing of this suit?

  7. I am in the same situation! Although chase refuses to give my new mortgage company or “ME” any documents and history of my 12 years with them. Paying on 75,000$ loan for 27 years and is now at 139,000.00!! I need HELP!

  8. The company doing refinancing for Chase back in 2009 after the crash was deleting re-financing applications and pushing the houses in default onto their friends and family.

  9. For profit.

  10. I would like to be notified how I can add myself to that lawsuit against chase. I have owned my house since 2010 and still owe the same amount of them loan from the year I purchased the house. Now I want to sale the home and I still owe the same amount and more . I paid them $6000.00 they turned it around and said I owe them for 7500.

  11. I am a victim of the predatory lending after refinancing my home in 2003-2008 when my payments ballooned to three times the original payment. It began with a low APR interest rate for five years. I was assured I would be able to refinance and get a fixed rate. Within the five years,I tried working with Chase to lock in a fixed interest rate, but they refused to offer a fixed rate. Instead, the payment ballooned to 3 times the amount and I could no longer afford making the payments. I had to sell my house as a short sale and reaped no benefits from it. I like to be added to the lawsuit.

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