| If you have a mortgage with your bank then you may | | | | making adjustments to their existing home loans. |
| be able to modify your loan terms. Many Banks have | | | | In addition, just yesterday Barrack Obama announced |
| recently announced that they are proactively modifying | | | | that he is trying to pass an additional $75 billion to help |
| mortgage loans; particularly to those who previously | | | | homeowners adjust their existing mortgages. So, is it |
| went through more risky lenders. | | | | possible to make a loan modification to your existing |
| B of A purchased Countrywide as the major lender | | | | loan. Absolutely. And it appears that the government is |
| started to go under. Countrywide has been the poster | | | | encouraging it. |
| child for an organization that made risky mortgage | | | | However, you have to realize that you did sign a |
| loans. Therefore, Bank of America has been left with | | | | contract for a specific rate and term; and therefore, |
| a lot of loans that are either in default or the | | | | you don't have much of a legal right to change your |
| homeowners are struggling with payments. Many | | | | loan terms. Changes being made are really just out of |
| people are struggling to make payments on their | | | | the goodwill of Bank of America or whatever |
| homes because they got adjustable rate mortgages. | | | | mortgage company you may be dealing with. Typically, |
| Some of these rates have reset at higher rates and | | | | changes will only be made to borrowers that are in a |
| payments have increased significantly. In particular, the | | | | severe financial situation and are late on payments |
| economy has decreased in overall productivity and | | | | and are close to foreclosure. |
| these losses have trickled down to everyday | | | | Unfortunately, if you are current on your home loan, |
| homeowners. So, in fact, other banks including Wells | | | | you do not have much chance of getting a loan |
| Fargo, Citibank, or Chase home mortgage are all | | | | modification. |