Under constant sctrutiny lately, it's no secret that Bank of America took a unique approach to the foreclosure crisis. After acquiring Countrywide Financial in 2008, Bank of America took the easy way out by blaming the new guy. Instead of helping homeowners by lowering rates and extending loans like many mortgage companies have been forced to do over the past few years, Bank of America's foreclosure settlement is designed for Bank of America to take as few loses as possible. With many homeowners around the country finding themselves underwater on their homes, some mortgage lenders realized that loan modifications are cost effective and help people stay in their homes when faced with foreclosure.
Bank of America Only Protects Themselves
Unable to make their mortgage payments, many families reach out to banks asking for loan modifications and refinancing options. In many cases, these banks have been helpful and people have typically been able to stay in their homes. Bank of America is being accused of unethical practices. Bank of America took advantage of the loan modification process by giving principal reductions on 1st mortgages which essentially weren't theirs and then left the second mortgage intact, leaving the debt to investors and shareholders instead of taking responsibility. After blaming Countrywide Financial, a subdivision of Bank of America, an $8.5 billion foreclosure settlement was issued. However, many say it's still not enough and that it's time for Bank of America to pay up.
In a down economy, most lenders have realized the only true way out of the mortgage crisis is to give relief to homeowners. Realizing property value has gone down exceedingly in the past few years, banks are granting lower interest rates as well as principal reductions to keep homeowners in their home. Lenders are granting lower monthly mortgage payments on existing mortgages. These types of loan modifications have been hard to obtain without a good foreclosure defense attorney. Bank of America should be doing a lot more to help homeowners.
Foreclosure Lawyers Force Bank of America to provide some relief
If you're a homeowner and Bank of America is trying to foreclose, you shouldn't give up. Hiring an experienced foreclosure defense attorney is the best way to make Bank of America listen to your individual situation. Attorneys have the benefit of being able to speak with Bank of America's lawyers directly where as a consumer would have a hard time even getting in touch with someone affiliated with the bank.
An attorney can help you get a loan modification, stay in your home, and even prolong the foreclosure process if you're considering defaulting on your home. Speak with a Florida foreclosure attorney today to see what your options might be.
photo credit: Steve Rhodes via photopin cc
