HELOC BofA

[brokemama]

I decided to call BofA re my HELOC and they told me that the best they could probably offer would be a 50% reduction on the payments for 2 years. It's interest only for 15 years (12 to go) and the rate this month is 3.25%. The payment would be about $110 versus $220 a month. It's not definite as they have to review it, but I was hoping for something like a fixed rate P&I. Would it make sense to email the execs at BofA? I've just started the process at ALS for my first.

[LHarveyMadman]

If I recall correctly, B of A has an option to convert some or all of your HELOC to a fixed-rate loan. However, you may not necessarily get the same interest rate as the variable HELOC; in fact, I'm pretty certain that the fixed rate would be considerably higher and more in line with the interest rate on conventional home equity loans.

It sounds like you got an offer similar to that of HopingToFind on your HELOC. It couldn't hurt to try to contact the B of A execs to see if they can offer you something different.

[brokemama]

Very true; they told me the fixed rate would be much higher. I will wait to see an offer in writing and then contact the execs at BofA.

[HopingtoFind]

hi brokemama,
Yes, LHarvey is correct, that is exactly what we have recieved... they have basically set our interest rate to 0% for 2 years and we would be paying $96 towards the principal which is basically equivalent to 75% reduction in our payments for 2 years. Our interest rate is higher then yours, I believe it currently would have been 4.24%, maybe that is why they offered you 50% instead of 75%.

You could try and email execs, but I believe that is the only program they are offering right now...

[brokemama]

Updated on ALS mod. I called and was told that it has been assigned to the modification dep't. but that it can take 45-60 days to get the review. I will of course keep calling once or twice a week. Next I will get on top of BofA for the HELOC mod, but that's just a pittance in comparison and I'm not expecting much from them.

Note to mods here; would it be wise to create an Aurora thread such as the others Countrywide, Citi, etc. Seems there's a lot of us Aurora people out here and having the info in one place would be helpful.