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Bank of America sees loan mods increase to 680,000

Bank of America has provided mortgage modification assistance to more than 680,000 homeowners, including an industry-leading 79,859 completed modifications through the government's Home Affordable Modification Program (HAMP) through August and more than 600,000 through the bank's proprietary programs since January 2008.
"We continue to help thousands of homeowners through the HAMP and the use of other programs when customers are not eligible for a government-supported modification," said Rebecca Mairone, default servicing executive of Bank of America Home Loans. "Our HAMP results in recent months show a reduced number of customers starting new trial modifications, due mainly to the implementation of a full documentation requirement. As a result, we are seeing a smaller increase in completed HAMP modifications month-over-month at this time."
When a homeowner is found to be ineligible for a HAMP modification, Bank of America may pursue other foreclosure prevention initiatives. Second-look modifications may be offered to homeowners who do not meet the qualifications for permanent HAMP modifications but have demonstrated the willingness and ability to sustain more affordable payments. If no modification program fits the customer's qualifications or the customer has made a decision to transition from homeownership, Bank of America will consider a viable short sale or deed in lieu (DIL) ahead of completing foreclosure.
Bank of America is fully operational in the government's Home Affordable Foreclosure Alternatives (HAFA) short sale-DIL program. In addition, the bank has developed a streamlined cooperative short sale approach for homeowners who have been considered for a modification and HAFA and did not qualify.
As part of its support for customers considering a deed in lieu, Bank of America may provide a cash allotment to help a homeowner with transition expenses, such as moving costs and rental security deposits, in exchange for the deed to the property.
For more information, visit www.bankofamerica.com.
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