Bank Of America Home Loan Modification Program–Permanent Modifications In December 2010

Bank of America home loan modifications have seen increases throughout the previous months and have offered permanent home loan assistance to some homeowners which have been reported through the Making Home Affordable home loan modification reports released each month and according to the latest HAMP report, Bank of America saw an increase in the number of permanent modifications made from November to December 2010.

According to the most recent Making Home Affordable report, Bank of America reportedly had 83,759 active permanent modifications as of November 30, 2010, but that number increased to 90,243 permanent modifications as of December. For the year, Bank of America increased their overall permanent home loan modifications from 12,761 permanent modifications in January, which obviously offered numerous homeowners more affordability and foreclosure prevention on their mortgage.

Obviously, there have been difficulties that some homeowners have faced within the home loan modification program and servicers have been accused of not properly implementing these modification initiatives in certain cases, but there have been difficulties on both sides of the modification process that many officials feel need to be addressed.

Recently, there were members of Congress who proposed legislation to repeal the home loan modification plan, as there are many homeowners who have failed to benefit from this foreclosure prevention initiative and have led to lackluster numbers compared to the original amount homeowners who were expected to be helped through Making Home Affordable. Also, servicers like Bank of America, among others, are thought to have not adhered to modification guidelines in some cases, which could have prevented some homeowners from finding the assistance that they sought.

However, Bank of America has offered proprietary home loan modifications and other foreclosure prevention programs as there are those who feel the modification program’s guidelines simply disqualify certain homeowners from finding the assistance they need. While there are both problems on the part of servicers and homeowners, there are still federal modification plans available and as increases have been seen throughout 2010 it’s hoped that federal modification plans, along with extension programs and proprietary homeowner assistance plans will bring about more affordability and foreclosure prevention to homeowners in 2011 in the hopes of reducing the amount of individuals who lose their home due to financial hardships.