Bank grants loan exemption after disability delay costs Stone Mountain man trial

Henry Adams of Stone Mountain, Georgia, stood on the back deck of his home on October 27, 2026, holding a photograph of his late wife, Ellen, and their daughter, Caitlin. The family had lived in the house for nearly 20 years while the couple served as pastors in Atlanta. Adams now faces the challenge of raising funds for his wife’s funeral, scheduled for early June, after a recent payment error nearly forced a foreclosure on the property.

The crisis began in April when Adams enrolled in an FHA loan modification program through U.S. Bank. The program required the borrower to make three consecutive on-time trial payments to qualify for final approval. On April 1, Adams admitted his wife to the intensive care unit for the final time. Hours later, a bank representative called to inform him that his mortgage payment had bounced and that he had been removed from the trial period.

Adams attributed the missed payment to a delay in his disability income from AT&T. His long-term disability provider acknowledged a systemic issue that delayed direct deposits by two days. The provider sent a notification letter to recipients on April 8, after the payment deadline had passed. Adams stated that the provider did not alert the thousands of individuals it services that their deposits would not arrive by the end of the month.

Upon being removed from the program, the bank told Adams he owed nearly $10,000 in back payments and faced immediate foreclosure. Adams said he had not expected to face foreclosure in the home where he and Ellen raised their daughter. He noted that the bank indicated there was no grace period or do-over if a trial payment was missed.

Ellen Adams died at the hospital shortly before a local news investigation team met with Henry Adams. She had battled breast cancer for years, and Adams cited the financial strain of her medical care as a factor in their decision to seek the loan modification. He also described his own health challenges, noting that he survived cancer in the past but was left with leg swelling that qualifies for disability income.

After the media outlet contacted AT&T, U.S. Bank, and the federal loan provider to inquire about the delay, U.S. Bank worked out a policy exemption with the FHA program. The exemption allowed Adams to restart the trial period in July. A U.S. Bank spokesperson said the bank values its relationship with Adams and acknowledged the unfortunate circumstances involved in the case.

An AT&T spokesperson stated that the incident stemmed from a system error at a third-party benefits provider and affected a small number of long-term disability recipients. The company apologized to Adams and is working with the vendor to prevent future errors. The third-party benefits provider did not respond to requests for comment.

Adams said he was focused on securing the exception and managing the financial aftermath. He described receiving the call from the bank as a relief, noting that he cried during the conversation. The family is now using the time to prepare for Ellen’s funeral and to continue the outreach ministry the couple ran for two decades.

U.S. Bank officials explained that they are required to follow FHA servicing guidelines, which include automatic actions if requirements are not met. The bank stated it will offer reinstatement to the trial plan based on the policy exception. Adams has been advised to pay loan payments early, check bank accounts frequently, and ask lenders about hardship exceptions if payment issues occur.