In a sweeping deal that could be worth more than $8.4 billion, Bank of America Corp. has agreed to settle claims brought by state Attorneys General regarding certain risky loans originated by Countrywide Financial Corp. The new program will involve the creation of a proactive home retention solutions expected to affect nearly 400,000 former Countrywide customers.
Qualified borrowers occupy the home as their primary residence and have loans serviced by Countrywide and originated prior to December 31, 2007.
The initiative is expected to cost Bank of American $8.4 billion in interest rate and principal reductions.
In a press release issued Monday, president of Bank of America Mortgage, Home Equity and Insurance Company said, "We are confident that together with the Attorneys General we have developed a comprehensive program that provides more solutions than ever before to assist troubled borrowers."
In eligible states the company will waive late fees associated with a borrower’s default in finalizing modifications under the program.
Source
0 responses so far ↓
There are no comments yet...Kick things off by filling out the form below.
Leave a Comment