Sorry we helped you lose your home — here’s $20,000.
Wells Fargo & Co. has admitted a “calculation error” may have led to as many as 400 struggling homeowners needlessly losing their homes to foreclosure.
The mistake in a mortgage-modification tool, discovered nearly three years ago, wrongly factored lawyers’ fees into the formula put forth by the government to determine if a homeowner would qualify for a federally-backed program, like 2009’s Home Affordable Modification Program, or HAMP, Wells Fargo WFC, +0.10% revealed in a regulatory filing.
As a result of the bank’s error, as many as 625 customers were “incorrectly denied a loan modification,” Wells said — with 400 then having their homes foreclosed upon.
An expanded version of this report appears at nypost.com
