My privacy, as well as the privacy of other partners in a p'ship, was comprimised by a local bank. The p'ship owns a couple of rental properties. Each is encumbered by a loan with the bank. One of the loans was in arrears by 3 months due to lack of tenants. The bank issued certified letters detailing their extreme concern for the monies outstanding. They pronounced their right to foreclose as well. The letter contained partners names, addresses, loan principal balance, assets secured by the note etc.
The bank also sent this certified correspondence to my parents, who are not co-borrowers nor guarantors on the note. They have absolutely no affiliation. I confronted the bank with the issue. They admitted that contacting my parents and divulging all loan info and partner info was wrong and was done so inadvertantly. They apologized.
The partnership feels as though this was done intentionally as a tactic to "encourage" prompt attention to the debt matters. It worked....but we feel like our privacy rights were deliberately violated. Are we in any position to take legal action vs. the bank?
1 Answer from Attorneys
Before considering "legal action", against this bank, you would be well advised
to first determine your provable damages (if any).
Related Questions & Answers
After a settlement is won, how long can the bank take before awarding the money? Asked 5/31/10, 10:42 am in United States Virginia Banking Law