banking fees taken out of my security account which was placed in escrow
Twelve years ago we paid a half months rent-$250.00-as a security deposit for the apartment in which we still live (the landlord lives downstairs and we rent the second floor).Our rental agreement states the amount of deposit and that it had been put in escrow.
The house was sold recently and our landlord said she would be returning the deposit.She then informed us the bank had no record of the deposit and she was looking into the matter-she said she was finally informed that when the bank changed hands about ten years ago they placed new minimums on all accounts and since the escrow account did not meet the minimum it was eaten up by assorted usage and non-usage fees.The bank offered her $125.00 and she declined the offer and filed a complaint with the attorney-generals office.
She has offered to return the amount of deposit and the $50.00 or so it would have accumulated which is fine with us -my question is -did the bank have the right to do as they did and if not what are my options in filing or pursuing a complaint of any sort.
thanks in advance to anyone who takes the time to help me out here
Re: banking fees taken out of my security account which was placed in escrow
Your issue is with the landlord, not the bank. The landlord is a “trustee” of the security deposit and is strictly liable for its safekeeping. It sounds to me like the landlord is doing the right thing – that is, taking responsibility and paying you back. I doubt that you would have any legal basis for pursing the bank. Let the landlord do that. Best wishes, David Baker
David Baker
Law Office of David Baker
236 Huntington Avenue, Room 306
Boston, MA 02115