BofA Screw-Up Leads To Foreclosure For SW Florida Homeowner Having Valid Loan Mod Agreement In Effect; Bank Fails To Contact Its Lawyer To Cancel Sale

In Cape Coral, Florida, The News Press reports:

• Nicole DePuy thought she was one of the lucky ones when she walked out of Harborside Event Center on Jan. 27 with a loan modification that would save her home from foreclosure. After waiting hours to talk to her lender at the highly publicized event, the 40-year-old speech-language pathologist had been approved for a trial with the Home Affordable Modification Program.

• Under the government-sponsored program called HAMP, DePuy's mortgage payments were cut almost in half, dropping from $2,100 to $1,054. And best of all, under the terms of the program, all foreclosure action would stop. The scheduled sale of DePuy's Cape Coral home was prohibited under the terms of the agreement. "I thought my problems were over," DePuy said.

• Nothing could be further from the truth. But DePuy didn't know that until John Moffatt of Isla Blue Development LLC put a note on her door March 31 telling her to call about her property. Moffatt told DePuy the company he represented had purchased her home in a foreclosure sale at the courthouse.

For more, see Bank of America's error cost Cape Coral woman a house.