Bank of America homeowners have seen aspects of the federal Making Home Affordable Program offer a variety of options after a homeowner has failed to receive a trial modification or a permanent modification plan, and some areas of the Treasury Department report that was released here in September have shown that some homeowners with Bank of America are finding themselves current on their mortgage after being unsuccessful at getting a modification and there are also homeowners who are getting alternative payment plan arrangements that do not involve a formal loan modification.
What this means for homeowners is that if Bank of America denies them a trial modification or has their trial modification canceled, homeowners may be in a position where there are opportunities beyond a modification plan or some have seen the return of their financial situation to a point where they can’t afford their mortgage payment. Yet, this has not always been the case as there are homeowners who may have to turn to short sell or deed in lieu of foreclosure plans, or perhaps seek out assistance from alternative plans like the Hardest Hit Fund.
Yet, Bank of America homeowners who had their trial modification canceled but were then either current on their home loan or were offered an alternative payment plan arrangement increased between May and June as the program total for Bank of America in this area increased by almost 70 homeowners who are current on their mortgage after their trial modification was canceled and there were about 60 homeowners who had a payment plan arranged that did not involve a formal home loan modification agreement.
Also, homeowners with Bank of America saw increases in these areas when they were not initially accepted for trial modification, as a little over 4,000 homeowners with Bank of America were current on their home loan after being denied a trial modification plan between May and June, and the number of payment plans that were arranged outside of the formal modification agreements increased by almost 1,000.
Due to the fact that homeowners have still seen some problems when communicating with their mortgage servicer, it may still be necessary for homeowners to consult with a housing counselor, but there are still success stories coming from the Making Home Affordable Program in spite of the numerous criticisms and problems that have been seen in the past. Bank of America and other servicers do still continue to work with homeowners in a variety of capacities but homeowners should remember that since these servicers are imperfect and these programs have not always been helpful, homeowners do need to make sure they take action soon after their financial troubles arise so that they can find the best possible program to help them avoid foreclosure and give themselves time if problems arise.