Can I sue for bank neglect?

We won a house auction on June 20, 2007. As soon as we did, the following day my husband and I applied for a loan. The lender, told us we were gonna close in 3 weeks. Between the day we applied for the loan and 2 days before closing we tried to contact the bank lender more than 30 times. He informed us we needed supplemental papers a week before closing and said we were gonna have an answer (wether approved or not) on June 18, 2007. On this day, we called him and he said he handed the responsibility to someone else in charge. This lender/bank know that if we fail to close on the 20th of June, we lose the downpayment made to the house.

Okay, now before we made the loan, we had to give 5% downpayment to the bank who owned the house. In the contract with the auction people, it is stated that extension for the closing is optional and is 150$ every day including the weekends.

Today, we talked to the person in charge with our loan and he said best case scenario is to get an answer in 2 wk

Can I sue for bank neglect?

The neglect is yours. You should have gotten pre-approved for the loan prior to going to the auction. You would then have known how much you could spend and the loan would have already been approved. Once you failed to do that, you should have sought a loan from several banks to ensure that you had the money in the appropriate time frame. Trusting someone else when you knew the consequences was your mistake not the banks.

Can I sue for bank neglect?

I don't think so. Why on earth didn't you set up your financing BEFORE you bid on the house?

Can I sue for bank neglect?

Well, anyone can sue for anything....that being said. I'm surprised that you did not have to give proof that you had already been approved for a loan before putting the down payment or winning the auction bid.

I hope that all works out, but unfortunately this is probably a hard lesson learned.

Can I sue for bank neglect?

Better get a lawyer! This ain't gonna be pretty.

You can sue anyone for anything, but I don't know if you'll have a case. That's what lawyers are for.

Also, shame on you for getting into a fixed-term contract to buy, with your cash on the table, without already having a source of financing lined up!!!!

Experience is a great (but sometimes painful) teacher!

Can I sue for bank neglect?

You have a strong basis for sueing the bank. I suggest you contact the lawyer and take is advise on pros and cons. He may charge his professions fees for the advise, but it is a wiser step to consult him/her before plunging into litigation.

Can I sue for bank neglect?

You can consult an attorney, but it doesn't sound like you have much of a case.

First, your timeline doesn't match up. You won the auction on June 20, then applied for a loan on June 21, but say that you were supposed to have approval by June 18 (three days before you applied)? Also, you say you had to close on June 20th or begin paying a penalty? How could you possibly expect to close on the 20th if you hadn't even applied yet? It's not uncommon for the entire process to take 30-45 days, so it was unrealistic to expect to close on June 20.