B of A Agrees To Modify Mortgages

November 16, 2008

Another viable program designed to help financially troubled homeowners was recently implemented by Bank of America, the bank that acquired Countrywide Financial Corporation in July. The new program would modify troubled mortgages with up to $8.4 billion in interest rate and principal reductions for about 400,000 Countrywide customers nationwide.

The program is designed to achieve affordable mortgage payments for borrowers who financed their home purchase with subprime loans serviced by Countrywide and originated before December 31, 2007. It’s primarily structured as a modification process to provide relief for eligible borrowers who are seriously delinquent, or likely to become so, as a result of loan features such as rate resets.

Posted in Real Estate