There has been a lot of talk about holding the big banks accountable for the progress of loan modifications and short sales. Much of that attention lately has focused on Bank of America, which is facing a class action lawsuit, but my own experience as a real estate agent has shown me that problems with delays and dropped communications are also cropping up with other big banks, such as JP Morgan Chase.

Here in Arizona, my clients and I have run into problems with Chase in regards to processing short sales and loan modifications. Reaching someone in the bank can be a logistical nightmare. Phone numbers seem to be constantly changing and paperwork is lost. An often-changing third-party authorization process has made it difficult for me as an agent, at times, to speak to the bank on behalf my clients.

To be sure, big banks have some big challenges of their own. Rick Sharga of the foreclosure tracking firm RealtyTrac recently told ABC News that banks have been “unable to efficiently handle the volume of distressed assets that are coming through.”

But for those of us in the trenches, these explanations aren’t much help. In one of my cases, a client had Chase as his second lienholder and Bank of America as his first lienholder (nightmare from both ends). Anyway, the client was in disbelief when I kept explaining to him the problems I was having in contacting someone at Chase who could discuss his account. Finally, I was able to find the department who knew his account and had his paperwork. After a lengthy discussion with the proper department regarding the progress (none), I was told to call back in a few weeks for an update. Upon calling back a few weeks later with my client on speakerphone, I was directed to five (count 5) different representatives in five different states and was told that the number I had previously used that worked was not a valid number. It took weeks before I was again given the correct number to call regarding this client’s account.

I’m not the only one noticing this. In one case, two real estate agents with an online video show called Short Sale Power Hour discussed issues they were apparently having with Chase short sales. Chase’s attorneys reportedly put heavy pressure on the agents’ broker to pull the videos, or severe measures would be taken. In the end, the videos were removed. With the borrower backlash against Bank of America resulting in legal repercussions, could Chase Bank be next to face a class action lawsuit?

Has anyone else had similar experiences?

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