Industry NewsMortgage

Feds: BofA lagging in loan mods

HOPE NOW servicers say short sales also coming into play
Published on Dec 11, 2009

Bank of America -- which has more mortgages eligible for the Home Affordable Modification Program (HAMP) than any other participating loan servicer -- continues to lag behind the industry average in modifying troubled borrowers' loans, according to the latest report from the Treasury Department.Through the end of November, Bank of America had made trial or permanent modifications on only 14 percent of the estimated 1 million HAMP-eligible loans it's servicing that were delinquent by 60 days or more, the Treasury Department said.That compares to an industry average of 24 percent, and a 30 percent benchmark achieved by seven other participating loan servicers including CitiMortgage (43 percent), JP Morgan Chase (31 percent) and Wells Fargo (30 percent).The report said the 78 loan servicers who have signed agreements to participate in the HAMP program -- and another 2,300 lenders servicing loans owned or guaranteed by Fannie Mae and Freddie Mac who are automatically eligible to participat...

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