Delinquent homeowners with Bank of America are usually those who are seeking a home loan modification as homeowners who are estimated to be more than 60 days delinquent on their Bank of America home loan, within the Making Home Affordable Program are those who are typically offered a trial modification plan in hopes of finding a more affordable solution to their payment problems so that foreclosure can be prevented. Ideally, homeowners who have fallen behind on their mortgage payments and, as a result of financial hardships, may lose their homes to foreclosure, are those who will be helped by these federal modification efforts, and as the ongoing modification plan and extension programs are still in the works, there are some reports tracking the number of homeowners who are delinquent with various financial institutions.
While there were some banks participating in HAMP that did see an increase in the number of delinquent homeowners who may potentially qualify for a modification, the good news for Bank of America is that the total number of homeowners tracked from the Making Home Affordable Program who were more than 60 days delinquent on their home loan decreased from December 2010 to January 2011. The February 2011 HAMP report tracks data through the end of January for this particular category and, in in December 2010 Bank of America had 402,102 estimated homeowners who were 60 days or more delinquent on their home loan, but that number dropped to 393,553 at the end of January 2011, according to most recent reports.
Yet, homeowners do need to understand that these programs have not been perfect and, in some cases, delinquent homeowners have been unsuccessful at acquiring an affordable modification plan that will help them meet their monthly payment during this period of financial distress in their lives. While there are also extension programs and proprietary home loan modifications in which Bank of America is participating, homeowners who are having trouble with their personal finances to the extent where meeting their home loan payment has become more difficult are usually advised to either contact a reputable housing counselor, like those from the Making Home Affordable Program, or consult with a representative from their servicer to see what options may be available.
Some homeowners have been able to simply refinance as a way to gain more affordability in their monthly mortgage payment, but in instances where homeowners are in a financially distressed situation where mortgage payments are hard to come by, this obviously is not a viable option. Yet, either alternative modifications, federal home loan modification assistance, or even state-specific foreclosure prevention plans may be available to not only Bank of America homeowners but individuals with a wide variety of servicers facing financial problems related to their mortgage payment. Homeowners will need to be proactive, though, if financial problems arise so that they may have enough time to explore various options and avoid missing home loan payment, if it’s possible, as there are some solutions that may help homeowners avoid a modification altogether.