There are homeowners that have borrowed from the same bank they have a check and savings account with. For those that seem to fall behind on their payments will need to realize that they should close both of their accounts at the same bank. The reason for this is that the bank feels they have the right to raid the accounts for money owed to the them by the borrower.

People who are facing foreclosure need to make sure their lenders are not the same as who they bank with. One known bank that has already done this to a homeowner who was foreclosing went through their borrowers check and savings accounts and took all of the money that was in it. There doesn’t need to be a judgment in court for the bank to be able to do this. They simply defend themselves by saying that they have the right by state and federal law that says they have the right to claim money that is owed to them. It is said that this is a common practice by many banks. Though this is the first many have heard of it.

In order to avoid such a thing from happening to you is make sure that if you are going into foreclosure then close out all of your accounts and open up a new account at another bank all together. Therefore, if you are banking with Wells Fargo, for example, then close out your accounts and move them to JP Morgan Chase or Citibank. This would be for your own protection.