Bank Of America Home Loan Modification Gets Expansion To Help More Homeowners

Bank of America has been seeing increases in their numbers within the Making Home Affordable Program, but there are still problems that remain for many homeowners in other aspects of their mortgage.  Some homeowners have trouble with underwater mortgages, while others have been seeking a home loan modification, but due to unemployment, have gained little assistance from doing so.

However, Bank of America is one of the top lenders that are looking into expanded programs from the Obama Administration that could help underwater homeowners and unemployed homeowners as well.

Principal reductions for underwater homeowners and forbearance options for unemployed homeowners are hoped to provide more relief to still-struggling homeowners.  Principal reductions would lower the principal on a homeowners mortgage if they keep payments current and forbearance programs would significantly lower a homeowners mortgage payment or allow the homeowner to stop payment for a few months.

Forms of these programs have been around, but the Obama Administration now is asking lenders to help homeowners with these expanded programs within the Making Home Affordable Program, but it will take time to see if they can provide the help homeowners need or not.