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When you say rear brakes are torqued on too tight; what does this mean... Does this mean you cant get the drum off? I think the drums have to come off because this sounds like where your problem is. I think theres a good chance the rear shoes are stuck/seized and not free to move and this is what is causing your braking problem.
To get stuck drums off, the first way is to go inside the little oval brake adjustment hole on the back, shove in a screwdriver and loosen the self adjuster star gear. Then the drum should slide off. If you cant get the drum off this way, use a big 3 jawed puller. Dont worry too much about damaging the drum - if it comes off this hard, it probably has a deep ridge on the outer edge and is junk anyway.
My guess is you will find the rear brake shoes are sticking. The problem can be caused by worn out wheel cylinders, dirty brakes, weak brake spring, sticking self adjusters, or maybe even dirty fluid.
So you may need to replace the wheel cylinders, and maybe the brake spring too. (This model Camry uses a single large U-shaped spring instead of the multi spring arrangement used on other cars.) But start by removing the drum, any way you can! Then disassemble the brakes and clean them really well by soaking them with canned brake cleaner. (BTW take apart ONLY the brakes on one side at a time, because you might need the other side as a reassembly model.)
Now check the wheel cylinder. Pry up a seal on the wheel cylinder, if only a couple drops come out, theyre probably ok (but i would still take them apart to check them and clean them since the rear brakes may be bad). If more than that (pours) out, change the wheel cylinders.
And disassemble the self adjuster mechanism and clean it well with brake cleaner, and lube it with brake grease.
Then apply a smear of brake grease to the shoe contact points on tthe backing plate (they're easy to find cause theyll be the only parts worn bare metal on the plate).
Then reassemble them brakes, replace the (new or turned) drum and adjust the brakes. And i think this may fix your problem.