Re: PMI and foreclosure question
Posted by NJDave on November 27, 2007 at 14:34:42:
In Reply to: PMI and foreclosure question
Posted by Byrd on November 27, 2007 at 05:56:20:
"Shouldn't PMI have covered the difference in the price?"
It did, but PMI is for the lender's benefit, not for you. PMI paid a claim to the lender, and now is trying to collect what it paid from you.
Did the lender 'forgive' the difference between what it got and what was due? Did you receive a 1099-C?
Did you report the forgiven debt as income as you are required to report any income to the IRS?
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