Mortgage (Wells Fargo) company deposited our insurance check without our endorsement

[anniehall216]

What is the name of your state (only U.S. law)? Florida

After Hurricane IRMA, we filed a claim with our insurance company and were issues a check for repairs. The insurance company mailed the check (dated October 9, 2017) to our mortgage company with the check made out to Wells Fargo and me. They deposited the check on October 30th, 2017 without getting my endorsement. I have been calling them and they have been telling me they don't have the check. I just got a copy of the cancelled check from our insurance company. They had previously told me that since the check was for under $20k, they would endorse at one of their branches so we could cash and make repairs.

1. Can they deposit without my endorsement?
2. What recourse do I have to get the money?
3. We have further damage to our ceilings due to roof damage and leaks that cannot be fixed without the funds, who pays for those? We covered the damaged area with 2 tarps but we get hard winds off the water here and they keep blowing off, tearing under the blocks.

 

[PayrollHRGuy]

1. It isn't a matter of if they can because they obviously did.
2. Does WF now acknowledge that they received the check? If so, they need to make arrangements to get the funds to you.
3. If the additional damage was not paid for in the original check you need to go back to your insurance company.

 

[adjusterjack]

1. Can they deposit without my endorsement?
2. What recourse do I have to get the money?

See if your insurance company will stop pay on the check because of the improper endorsement. If not, then it's between you and WF.

What generally happens with damage claims is that the money is deposited in your escrow account and is doled out to you as you are doing the repairs. WF says it doesn't have the check but did somebody say where the money is? Can you go online and review your escrow account? Have you talked to somebody in the hazard insurance department? Most lenders have one that specifically handles these claims.

3. We have further damage to our ceilings due to roof damage and leaks that cannot be fixed without the funds, who pays for those?

Well, if you are thinking WF, that's not going to happen without you paying a lawyer to file suit.

You may or may not have additional coverage under your homeowners policy. Check with your insurance company.

 

[anniehall216]

1. Obviously I know they deposited the check. I was looking for is that legal?
2. No, this morning they still said they didn't receive the funds until I said I had the cancelled check. Now we are faxing a copy.
3. Again, the obvious. I understand if there is additional damage that has not been claimed I would submit it to my insurance company. But the insurance company paid in quick order and Wells Fargo held the funds. Do they not have any legal responsibility for the damage that occurred due to damage not being fixed? (Roof leaks on ceiling, down the walls and soaked sub floor)

 

[anniehall216]

Re: QUOTE=adjusterjack;3537038]

Thanks, I figured I would have to retain our attorney to deal with them. We do not have an escrow account, they said anything under $20k they would endorse when they received the check and forward to us. We would then send proof of repairs to them and the insurance company. The check was cut on October 9th and deposited on Oct 30th so it's long since cleared. Unless there's some retro active action the insurance company can take to reverse the funds?

Anyway, thanks much for your answer. I have a feeling our attorney is going to have to get the funds.

What generally happens with damage claims is that the money is deposited in your escrow account and is doled out to you as you are doing the repairs. WF says it doesn't have the check but did somebody say where the money is? Can you go online and review your escrow account? Have you talked to somebody in the hazard insurance department? Most lenders have one that specifically handles these claims.



Well, if you are thinking WF, that's not going to happen without you paying a lawyer to file suit.

You may or may not have additional coverage under your homeowners policy. Check with your insurance company.[/QUOTE]

 

[FlyingRon]

I'd find a branch that has a mortgage office (not all of them do) and go sit on them until they unravel this. I've generally found face-to-face with bank branch VPs usually can get things done on errors like this.

 

[anniehall216]

I'd find a branch that has a mortgage office (not all of them do) and go sit on them until they unravel this. I've generally found face-to-face with bank branch VPs usually can get things done on errors like this.

Thanks Ron, I may try that.

 

[anniehall216]

Resolved

Thanks all. Finally resolved....at least I think it is. They have located the funds and are cutting a check. They say I should have it in my hands next week. I did have to mention legal action to get them to work hard at locating the funds but at least they did it and hopefully that's behind me!

Thanks again for taking the time to help!