Bank of America yanks Countrywide Financial customers’ lines of credit - latimes.com

Countrywide/Bank of America home equity borrowers beware:

Bank of America yanks Countrywide Financial customers’ lines of credit - latimes.com

Of course many of us have experienced a lockdown in our home equity lines already, but this is a "wholesale" rollback for a large group of borrowers, and is not based on credit scores or balances. I'd recommend that anyone maintaining an open equity line of credit as a safety cushion for the unexpected double check it's actual availability once and awhile. You can't meet an unexpected need with an unavailable line of credit. - David

BofA to start reducing mortgage principal - Yahoo! News

Despite the legal motivation, B of A is beginning a very important process.

Quoting from the Yahoo News article, "The bank, the largest mortgage servicer in the country, said Wednesday it will forgive up to 30 percent of some customers' total mortgage balances. The homeowners must have missed at least two months of mortgage payments and owe at least 20 percent more than their home is currently worth."

This should put pressure on other lending institutions to follow suit, preventing a slew of foreclosures and short sales. Good news indeed! - David

BofA lagging in loan mods - Inman News

BofA is bringing up the rear in loan modifications as we learn in this Inman News article.

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