Bank of America is one of the mortgage servicers who offers traditional home loan assistance from the federal Making Home Affordable Program, but there are alternative assistance plans which homeowners may use in order to find affordability outside of the more popular, widely known programs. Obviously, options like foreclosure alternatives and unemployment forbearance are foreclosure prevention efforts known by homeowners, but there are participants in additional Making Home Affordable Programs which homeowners may be able to use to avoid the loss of their home.
The Second Lien Modification Program, the FHA First Lien and Second Lien Program, and even the Rural Housing Service Modification Program are a few of the additional programs that Bank of America, among many others, participates in when providing extension programs from the Making Home Affordable Program. These additional home loan assistance programs may offer homeowners more opportunities to avoid the loss of their home during a time where the fate of the modification program may be questioned.
Recently, there have been calls and proposed legislation to end the modification program as there are concerns that, overall, the federal modification plan has failed, but there are obviously dissenting opinions on this issue. Homeowners who have had trouble with the home loan modification program have typically cited that servicers were not a following modification guidelines, but there are few repercussions for servicers who may be improperly handling their modification program within HAMP.
While there are issues surrounding home loan modifications, there are also many who feel homeowners need this form of assistance in order to avoid the loss of their home due to financial difficulties. Understandably, there have been numerous homeowners who have faced hardships and trials while seeking home loan assistance from the federal modification program, but these initiatives from major servicers like Bank of America do still offer homeowners the help they may need in order to avoid foreclosure despite the fact that there are obviously imperfections in the program.
Homeowners can still talk with their servicer or a reputable housing counselor to begin the modification process, but as there are questions over whether the program should continue, homeowners do still have alternative assistance plans available and proprietary home loan modifications which may be helpful when it comes to preventing foreclosure.