A federal lawsuit filed today in San Diego alleges Washington Mutual, now operating as a division of JP Morgan Chase Bank, has been systematically reducing and freezing customers' home equity credit lines.
The proposed class-action suit -- filed on behalf of Escondido businesswoman Michell Kimball -- alleges the bank used flawed automated valuation models to intentionally understate home values so it could create a pretext for freezing its customers' line-of-credit accounts.
The lawsuit alleges that the banks are failing to live up to their promises to use $700 billion in taxpayer funds to lend money to cash-strapped home and business owners and are squeezing consumers by freezing or reducing their home equity lines of credit.
Kimball said she first learned that Chase had frozen her WAMU credit line when a check she had drawn on the account was dishonored.
The plaintiff said the action by the bank threatened her home and the viability of her small business.
After Kimball's lawyers intervened, Chase restored her credit line but did not reimburse her for her losses, according to her court papers.
Students and community members in San Diego County plan to march for gun control today as part of the nationwide "March for Our Lives."
After two mistrials, a judge Friday dismissed felony DUI and hit-and-run charges against an oft-deported Mexican citizen accused of causing a crash in San Ysidro that seriously injured a 6-year-old boy returning home after a day at Disneyland with his family.
Students and community members in San Diego County plan to march for gun control this weekend as part of a nationwide "March for Our Lives."
A stabbing outside a Costco store in Carlsbad Friday left one person seriously injured and an acquaintance of the victim's in custody on suspicion of attempted murder.
Congress gave President Donald Trump the $1.6 billion he wanted this year for his proposed "big, beautiful" border wall with Mexico but the headline number masks what he didn't get on one of his signature campaign promises.
Annual data from San Diego county medical services show an alarming number of local underage drinking deaths.
A man accused of killing his girlfriend -- a mother of two -- in the apartment they shared in the Mountain View neighborhood of San Diego must stand trial on murder and misdemeanor child endangerment charges, a judge ruled Friday.