Foreclosure victim says housing agency led him astray

Ronald Parrott is living on borrowed time. His house was foreclosed on April 30.

Parrott, who surfaces floors and is self-employed, said he knew he was in trouble back in December when his business hit a slow patch.

He ended up at West Elmwood Housing Development Corporation, one of 12 approved agencies in Rhode Island that provides housing counseling free of charge.

He said once he got the ball rolling for a possible loan modification, his housing advisor told him to ignore any foreclosure notice he might receive.

“She told me blatantly to ignore it. (She said) they can’t do anything while we’re in negotiations,“ Parrott said.

Parrott said he did just that when he received a foreclosure notice in March.

“I got this stuck in my head, ‘Alright, I don’t have to worry about foreclosure. It’s coming up but I don’t have to worry about it,‘“ he said.

But he did worry when he came home one day and found out that his home had been foreclosed.

Parrott came back to West Elmwood to find out what happened. He said he was told to contact legal services to see if anything could be done to save his home. There wasn’t.

West Elmwood Assistant Director Jerry Rhodes said while they can’t comment on individual cases, they never tell clients to ignore a foreclosure notice. He said Parrott’s case is a good reminder to people facing foreclosure.

“Keep in contact with your bank and make sure you get verification that the modification has been approved or the foreclosure has been stalled,“ Rhodes said.

As for ignoring the foreclosure notice, Rhodes said he thinks it was a misunderstanding.

“Everything she told me to do, I did. I can’t see how I could have misunderstood something as important as that,“ Parrott said.

Parrott said he hopes others can learn from his experience, even if it’s too late for him.

“If you’re walking on a tight line, you better make sure the net under you is secure,“ he said. “Because if not you’re the one that’s going to fall.“