---
title: "Loan Modification Success: Bank of America Principal Reduction"
description: Your home's future is at stake during loan modification, which is why it's important to get help from loan modification experts like this man did.
---

[Foreclosure and Loan Modification Blog](https://blog.amerihopealliance.com/blog)

# [Loan Modification Success: Bank of America Principal Reduction](https://blog.amerihopealliance.com/blog/bid/303743/Loan-Modification-Success-Bank-of-America-Principal-Reduction)

 Written by [Jake Sterling](https://blog.amerihopealliance.com/blog/author/jake-sterling) | Saturday, July 20, 2013

*Disclaimer: These results should not be taken as a guarantee, as each case is unique. We have helped over 5,000 homeowners, here is one of their stories.*

A Florida homeowner was having difficulty paying his monthly mortgage payment and was fearful of losing his home. His fear was well-founded, because he was **nearly 1.5 years behind** and **over $52,000 past due** on his monthly mortgage payments to **Bank of America**. This situation was further exasperated by the high cost of his monthly payment: **nearly $3,400 monthly**.

This homeowner retained our firm in November 2012.  Although he had some trouble getting the [required documents](https://legal.amerihopealliance.com/loan-modification-document-checklist) together for the loan modification, [our staff](https://blog.amerihopealliance.com/blog/bid/288632/Where-Can-I-Get-Home-Loan-Modification-Help) was able to obtain a trial loan modification for him **within 4 months**. 

The homeowner completed the 3-month trial payment successfully, and received a Department of Justice permanent loan modification. His mortgage payment was lowered to a much more affordable monthly payment of **$1,960.18 (a monthly savings of $1,415.76).** His principal balance was **reduced by $102,715.99!**

This loan modification is not just significant because the monthly mortgage payment was nearly halved and the principal was reduced by over $100,000; it is also significant because it only took four months to obtain a modification. Bank of America's Home Loan department is infamous for [drawing out loan modification cases](https://blog.amerihopealliance.com/blog/bid/286229/You-re-Not-Alone-Bank-Of-America-Loan-Modification-Problems). Many homeowners have lost their homes to foreclosure while waiting on a loan modification from [Bank of America](https://blog.amerihopealliance.com/blog/bid/301377/BOA-Makes-Up-Own-Requirements-for-Deed-in-Lieu-of-FHA-Backed-Loan). This shows why it's important to hire a knowledgeable foreclosure defense attorney to help you obtain great loan modification results.

| ### Bank of America Loan Modification Overview |  |  |
| --- | --- | --- |
| July 2013 | Before | After |
| **Monthly Payment** | $3,375.94 | $1,960.18 |
| **Interest Rate** | 6.50% | 7.25% |
| **Foreclosure** | No, but 16 months past due. | Threat of foreclosure averted. |
| **Benefits to Homeowner** | $102,715.94 Principal Balance Reduction Monthly payment reduced by 42%, saving $1,415.76 per month |  |

At Amerihope Alliance Legal services, our goal is to provide legal counsel that will help homeowners avoid foreclosure or have their best chance at a more secure financial future. We have helped over 5,000 distressed homeowners save their homes since 2008, and we are looking forward to assisting even more people in the future.

<http://cta-redirect.hubspot.com/cta/redirect/161513/1e1731a4-403f-498d-8d4a-033b0ded45fa>

[View full post](https://blog.amerihopealliance.com/blog/bid/303743/Loan-Modification-Success-Bank-of-America-Principal-Reduction)

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