Bank of America Begins Mortgage Refinancing under U.S. Treasury's 'Making Home
Affordable' Plan
Homeowners with little to no equity may now have an opportunity to refinance
CALABASAS, Calif., April 9 /PRNewswire/ -- Bank of America, which services one
out of five mortgages in the United States, announced today that it has begun
processing its first wave of mortgage refinance applications under the U.S.
Treasury Department's "Making Home Affordable" program. The initiative
provides new refinance opportunities to homeowners who previously could not
qualify.
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"Combined with historically low interest rates, this program has generated
significant interest from borrowers seeking the benefit of lower mortgage
payments," said Barbara Desoer, president of Bank of America Mortgage, Home
Equity and Insurance Services. "We are proud to be one of the first lenders to
take loans from application to closing under the Treasury's plan, providing
the opportunity for more Americans to save money on their monthly mortgage
payments and supporting efforts to stabilize the nation's housing market."
The U.S. Treasury plan allows homeowners with loans owned by Fannie Mae or
Freddie Mac, who are current with their mortgage payments and whose home value
is no more than 105% of the current mortgage, balance the opportunity to
refinance their loans. Complete eligibility guidelines can be found at
http://www.makinghomeaffordable.gov/refinance_eligibility.html.
In its first wave, Bank of America will be able to serve the majority of
eligible customers - homeowners whose mortgages are serviced by Bank of
America or Countrywide and who do not have mortgage insurance on their current
loans. Additional borrowers will be included as systems become operational.
Eligible homeowners may benefit from refinancing under the plan because of
historically low interest rates coupled with guidelines designed to provide
increased flexibility:
-- Expanded guidelines for high loan-to-value loans;
-- No mortgage insurance required on loans that did not previously carry
mortgage insurance; and
-- No required minimum credit score
"Potentially millions of Americans will benefit from the government's
refinance and loan modification programs," said Desoer. "In just one month
since announcing this program, nearly 200,000 homeowners have contacted us to
determine their eligibility for refinancing. We're pleased to begin offering
the program now to the majority of eligible customers and we look forward to
expanding the offering to others in the coming weeks."
Bank of America is in the process of implementing the Treasury Department's
"Home Affordable Modification" program for Bank of America and Countrywide
customers. In the next two weeks, the company expects to begin offering trial
modifications under the plan.
Bank of America has extended its voluntary moratorium on foreclosure of loans
that may be eligible for the "Home Affordable Modification" program until
April 30, 2009.
On April 27, 2009, the Bank of America and Countrywide mortgage brands will
combine to become Bank of America Home Loans.
Bank of America and Countrywide customers can call the following phone numbers
for more information on refinancing and loan modification opportunities:
Refinancing Loan Modifications
Bank of America Customers 888-256-7683 800-285-6000
Countrywide Customers 800-593-7798 800-669-6607
Bank of America
Bank of America is one of the world's largest financial institutions, serving
individual consumers, small and middle market businesses and large
corporations with a full range of banking, investing, asset management and
other financial and risk-management products and services. The company
provides unmatched convenience in the United States, serving more than 59
million consumer and small business relationships with more than 6,100 retail
banking offices, nearly 18,700 ATMs and award-winning online banking with
nearly 29 million active users.
Following the acquisition of Merrill Lynch on January 1, 2009, Bank of America
is among the world's leading wealth management companies and is a global
leader in corporate and investment banking and trading across a broad range of
asset classes serving corporations, governments, institutions and individuals
around the world. Bank of America offers industry-leading support to more than
4 million small business owners through a suite of innovative, easy-to-use
online products and services. The company serves clients in more than 150
countries. Bank of America Corporation stock is a component of the Dow Jones
Industrial Average and is listed on the New York Stock Exchange.
www.bankofamerica.com
SOURCE Bank of America
Jumana Bauwens, 1-800-796-8448, jumana_bauwens@countrywide.com
