Homeowners with a Bank of America home loan may have various options when it comes to lowering their mortgage payments. Home loan modification plans and extension programs from the Making Home Affordable Program and refinancing opportunities have allowed homeowners in a variety of positions to lower their monthly home loan payment with Bank of America.
The home loan modification program has aided struggling homeowners by allowing them to obtain a lower monthly mortgage payment on their home loan in cases where homeowners have been affected by unemployment or other financial difficulties. Concern over the possibility that many homeowners could face foreclosure prompted the Obama Administration to begin this assistance program and extensions have been added to help homeowners in particular situations, like those with an underwater mortgage.
Yet, homeowners who are in decent financial positions have been able to take advantage of low interest rates that have been made available for homeowners who wish to refinance their home loan. These record-low mortgage rates have allowed many homeowners to refinance and get a more affordable monthly payment on their home loan. However, homeowners must be sure they can afford the costs that come with refinancing as some cases have arisen where a homeowner stood to lose out if they refinanced due to costs that had to be paid.
While Bank of America homeowners are not required to refinance with their primary lender, since another lender may be able to offer a lower interest rate if a homeowner refinances; when it comes to modifications homeowners are typically advised to begin by talking with their mortgage servicer. Both refinancing and modifications can be helpful in obtaining a lower mortgage payment, homeowners who are obviously in different financial situations will have to look at their current mortgage predicament to figure out which path is right for them.