Bank of America: Another 12,200 Mortgages Modified

Bank of AmericaBank of America has completed another 12,200 mortgage modifications as of April 8, making last month its most productive yet in the government’s foreclosure prevention program.
BofA said its total is now 32,900 permanently reduced monthly mortgage payments as part of the Obama Administration’s 13-month-old Home Affordable Modification Program, HAMP.
The nation’s top lender usually ranks as the top mortgage servicer in HAMP with modification trials underway. BofA had 261,216 as of February’s report. But it lags behind in modifications as a share of those borrowers eligible for assistance, with a 24 percent share in February, compared to 52 percent for CitiMortgage.
“We anticipated the momentum of completion of HAMP modifications would build as we entered spring, and we’re seeing that,” said Jack Schakett, loss mitigation strategies executive for Bank of America. “As more homeowners have completed their required trial payment period and provided the information necessary for underwriting, an increasing number of Bank of America customers are receiving long-term assistance…”
Bank of America also said it become the first major servicer to begin offering second-lien modifications on April 1. Homeowners who have completed first-lien modifications under HAMP are eligible.
The U.S. Treasury hopes to assist up to 1.5 million borrowers with its second lien program. The administration’s goal for HAMP is to offer primary mortgage reduction to up to 4 million borrowers.
In addition to HAMP-related programs, BofA said it has completed another 535,000 modifications outside of HAMP through proprietary programs since January 2008.

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