Can you really lose your home over 7 cents?

chandler arizona real estateIt’s been a really bad year for the Bergers of Deckerville, Michigan.  They lost their 10 month old daughter in a home accident in April and are now losing their home.

Seems the Bergers accidentally shorted their mortgage payment by 7 cents in January when a postal clerk issued a money order for $404 rather than the necessary $404.07.  The family didn’t notice the error and were 4 weeks late making their February payment (which wasn’t the first time they were late).

The family caught up with their payments by April but Bank of America (the new owner of their original mortgage, Countrywide) rejected their payments saying the Bergers had been repeatedly delinquent and that the loan servicers had “bent over backward” to accommodate them to keep their modest 4 bedroom bungalow that cost them $38,650 in 1997.

According to reports, Bank of America denies that a mere 7 cents is the root of this foreclosure and that the Berger’s rejected a “reasonable” offer last week to get the loan reinstated.  What was that reasonable offer?   The Bergers would have to come up with $8,390 including back payments of $7171 which apparently is $3000 more than the Bergers have or owe. 

Last Thursday Bank of America bought the Berger’s home for $42,708 at a foreclosure auction and have given the couple 6 months to come to terms with the bank or face eviction.

It appears there’s a little discrepancy in the whole “losing a home for 7 cents” story if there are back payments in the amount of $7171, but it does seem the Bergers were making a valiant effort to make the payments on their home.  

It seems pretty hard hearted of Bank of America…but then whoever said a bank has a heart?