In 2010, in the throes of the largest real estate meltdown and mortgage crisis in America, the nation's second largest bank, JP Morgan Chase, admitted to overcharging interest rates on military mortgages, a move which may have exacerbated the housing crisis for thousands of servicemembers.
Despite the Servicemembers Civil Relief Act, which protects the finances and families of soldiers on active duty by capping interest rates to active duty military at 6%, JP Morgan Chase admitted to overcharging interest on several thousand military mortgages, including the homes of troops fighting in Afghanistan.
JP Morgan Chase also admitted to improperly foreclosing on more than a dozen military family homes. This may prove to be a breach of the Heroes Keep Their Homes Act of 2010 which allows, upon servicemember application, a stay of court proceedings to enforce and adjust a mortgage obligation when the servicemember's ability to pay his mortgage is affected by military service. Under the Heroes Keep Their Homes Act of 2010, the sale, foreclosure, or seizure of property due to a servicemember's breach of a mortgage obligation is invalidated, except in certain circumstances.
http://www.militaryhub.com/article.cfm?id=291
I just saw this story on Fox & Friends this morning. Not sure if it's old news, but I sure as hell will not do business with Chase ever again if I can help it.
Edit: Mods please move this thread if it isn't appropriate to be in the Veterans section. - Thanks!
