Legal Question in Banking Law in New Jersey

Life Insurance loan check

I know someone who has been going through some problems. They had requested to take out 50,000 dollars against their life insurance policy, and faxed in the details for wiring the money to a bank account, being that they were abroad. The agent instead sent a check for the full amount to the son's address, which the son never received. Someone then deposited the money into a PNC Bank, and cashed 5,000 of it right away.

What possible actions can this person take against the company and/or the bank? Surely they should have checked ID's and signatures against the one's on the account, especially if the check was for such a high amount?

The agent confirmed that the signature was not the victim's, so it's obvious that someone just forged the name.

Using the check number, shouldn't we be able to track the bank account the money went into? Should a lawyer be contacted? How do we go about recovering these lost funds? The victim is very sick and this unfortunate situation has only been making it worse.

Thanks for answering.


Asked on 10/16/08, 11:39 pm

1 Answer from Attorneys
John Corbett Corbett Law Firm LLC

Re: Life Insurance loan check

Discuss the details with a lawyer. There is lots of liability to go around here and it is important that everyone be kept in the picture until the matter has been resolved.

See also: http://info.corbettlaw.net/lawguru.htm

Read more
Answered on 10/17/08, 1:17 am


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