Homeowners with a Bank of America home loan who are still suffering from unemployment may have assistance opportunities through the forbearance options offered by many mortgage servicers from the Making Home Affordable’s Unemployment Program, which may offer forbearance assistance to those who are suffering from joblessness. The Unemployment Program is one of the extension plans offered through HAMP and was created as a way to help homeowners who are suffering from unemployment find affordability in their monthly mortgage payment or possibly prevent foreclosure through foregoing mortgage payments for a set period time.
The nation’s top servicers can offer this form of assistance to homeowners, as the Unemployment Program was implemented as a way to help homeowners who did not qualify for a traditional modification plan. Originally, some homeowners with servicers like Bank of America had been able to claim unemployment benefits as income, which obviously created problems down the road when homeowners stopped receiving these benefits and were obviously in a position where they could not meet their monthly mortgage payments.
Yet, homeowners who qualify for the Home Affordable Unemployment Program are able to either find a reduction in their monthly mortgage payment or are offered a forbearance program which will suspend their payments for a minimum of three months. Servicers like Bank of America, among others, will offer not only this option to homeowners who are unemployed and receiving unemployment benefits, but there have been statements from Bank of America stating that homeowners who are already in the foreclosure process who enroll in the Unemployment Program will be able to avoid a foreclosure sale on their home as long as they are in the program.
Also, homeowners who qualify for the Unemployment Program who may find a job during their forbearance period may be able to qualify for either a home loan modification plan or, in a best case scenario, could resume making traditional mortgage payments. Again, homeowners with a variety of servicers may be able to qualify for this program, but those who are with Bank of America or another financial institution participating in the Making Home Affordable Program and are receiving unemployment benefits have been advised to contact their servicer early so that they may begin the process of qualifying for this forbearance opportunity. While this is not a guarantee and some homeowners have been unable to qualify, this has offered homeowners the chance to avoid the loss of their home while they continue to search for a job and find a more stable financial ground.