Legal Question in Banking Law in Illinois

Mortgage setoff

I have a mortgage with a bank. My wife has a checking account with the same bank I hav my mortgage with. I am not on my wife's checking account. My wife is not on my mortgage loan. We were 38 days late on our mortgage. The bank took out $1,419.00 out of my wife's checking account to pay our mortgage payment. My wife didn't authorize the bank to take money from her account, nor did she receive a letter of intent. Since my name is not on her checking account and she's not on the mortgage note. Can the bank take money under the circumstaces I've explained. What are my legal options. Thank You.


Asked on 7/20/02, 6:10 pm

1 Answer from Attorneys
Kenneth J. Ashman Ashman Law Offices, LLC

Re: Mortgage setoff

Without the benefit of conducting legal research, my gut tells me that something went askew. I tend to agree w/you that the bank should not be able to take from your wife's sole account monies due on a loan made only to you.

The amount taken, however, is quite small, at least in terms of retaining an attorney to help you. Unless there is a statutory cause of action that provides for an award of attorney's fees -- and there might be -- it seems as though you will have to contest this matter yourself, in some sort of small claims action.

-- Kenneth J. Ashman; [email protected]; www.lawyers.com/alo

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Answered on 8/01/02, 8:13 pm


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