Bank of America loan mod -SUCCESS!!

[LHarveyMadman]

Hello everyone,

I'm new here, so please bear with me if my questions sound naive. Lots of information follows, but I'll try to keep it concise.

We bought our house about 3 years ago in a particularly high-priced area of California. We got into a 5/1 interest-only ARM at 6.25%, and like many people were assured that when it came time to adjust the rate, we could simply refinance. Balance on this loan is $680,800. This loan is with Bank of America. Purchase price was $851,000 (eeek!).

Since we were only able to scrape up about 8% for a down payment, we also got a fixed-rate 30-due-in-15 home equity loan for $100,000 at 8%. I recently refinanced this into a HELOC with an interest rate of prime + 1.24%, so the current interest rate is 5.74%. I have been trying to aggressively pay down this HELOC, and the balance is currently $95,000.

As things stand now, we are able to make our payments without difficulty.

Home values in our neighborhood have not suffered as much as other areas nearby, and based on recent sales and listings I am reasonably confident that the current value of the house is at least equal to our purchase price. However, I believe that this will not be the case for much longer.

I'm concerned that when it comes time for the first adjustment, we could be looking at a significant rate hike and increase in monthly payment, especially since the principal will be amortized over 25 years. I'm worried that if our home value drops and doesn't recover by then, we won't be able to refinance into a fixed-rate loan.

So my situation in a nutshell: an interest-only ARM plus a HELOC in second position. The ARM will not adjust for a couple years but when it does, it will most likely lead to a massive increase in monthly payments. If our house value drops, we won't be able to refinance. We're not in distress now, but could be in a couple years when the ARM resets and principal starts getting paid.

This is what I'd like to do: I would like to contact Bank of America and propose a conversion of my ARM to a 30-year fixed rate loan. Ideally, I'd like to see an interest rate cut as well, because at 6.25% our monthly payments would go up by about $550, and that would be difficult to manage, at least for the next year. I don't need a principal reduction.

In this scenario, I would actually be offering to pay Bank of America more each month, but hopefully less interest with each payment.

Is this a reasonable thing to ask for? I don't think I can claim "hardship" at this time, but I sincerely believe that we will be in that situation in a few years.

Has anyone tried a similar thing with success with Bank of America, or any other lender for that matter?

Does the fact that I am offering to pay more and not less carry any weight? That is, would such a proposal be more attractive to B of A, since they won't actually be losing any money (other than interest payments)?

Who should I contact with this proposal? Should I call the 800 number for loan modification, or would a letter or email (like 05swimmer's) be more likely to get results?

If a letter/email would be the way to go, who should I send it to?


Thanks to everyone who has read this message to this point. I look forward to hearing your advice.

[Moe Bedard]

Hi LHarveyMadman,


Welcome to the forum and thank you for joining................

With BofA you would need to start by calling and see if there are any options available from the investor on your loan.............such as a freeze in rate..............

start by calling and see what options they have and what they will need from you.........

1-800-936-6362

[LHarveyMadman]

Grrrr....been on hold with B of A for nearly an hour now. I know this is to be expected, but I'm particularly frustrated because when I first called I got through to an agent pretty quickly, but when she looked at my loan info she said it would be handled through another office, and she transferred me. But I ended up at a collections department, and they were not able to answer any questions for me since I don't have any current collections issues.

I was able to get the mailing address and fax number for their Homeownership Retention Team. If I send in a letter or fax, are there specific persons to whom I should send copies? I want to make sure that my letter is seen by someone a little higher on their corporate ladder, but at the same time I don't want to be a pest. Or maybe I should be?

[Moe Bedard]

See if you can get somewhere using this other loss mit number........

Bank of America
Loss Mitigation
1-800-846-2222


Barbara J. Desoer
President of Home Loans
barbara.j.desoer@bankofamerica.com

Bank of America Corporate Center
100 N. Tryon St.
Charlotte, NC 28255
Phone: 1-704-386-5681
Fax: 1-704-386-6699

[LHarveyMadman]

Well, I finally got through to the B of A Homeownership Retention Team, but the agent told me that since I'm not actually in distress, there is nothing I they can do for me. She said that I should pursue refinancing through conventional channels. However, I already looked into this and since my loan-to-value is too high (and getting higher due to falling home values), I can't do this without somehow paying off a large chunk of principal, which I can't afford.

Maybe I should try the email-to-the-execs approach now, yes?

[LHarveyMadman]

There is another executive whose names doesn't appear on this list - Barbara Desoer. According to the B of A website, she heads up the mortgage division. Does anyone have contact information for her? It appears that the rest of the executives listed above are not directly involved with consumer credit.

[Moe Bedard]

you can do a search of her name at the top of forum page and see if there is any contact information in any of the posts here on the forum.

[LHarveyMadman]

Hmm, ***, the post that listed the email address has disappeared. Were you forced to take it down?

[Moe Bedard]

I can email them to you if you like.............


Here is the link to the execs.........Barbara is listed.........her email is
Barbara J. Desoer
barbara.j.desoer@bankofamerica.com

Bank of America | Newsroom - Senior Management Biographies

[LHarveyMadman]

renee, I think *** was saying that she would email the addresses to me/you, not that she was going to email the B of A folks on our behalf.

[renee626]

sorry -- it's the stress I have some new numbers from B of A
the 800 936 6362 number is for loss mitigation for seconds only. 800 846-2222 is loss mitigation for single loans and something called 80-10-10 loans, the related fax number is 716 635 7255. I got another loss mitigation number but not sure for what --- 866-300-1746. these are all B of A numbers

[LHarveyMadman]

Hi ***,

Just saw your message that got sent to my email account. Thanks. I ended up sending my message to just a handful of folks from the original email list (I had written down their names and was able to find their email addresses elsewhere).

I know it's good to go to a higher-level executive when we don't get results with the initial ground-level inquiry. But in addition to sending the message to the folks at the top (who are probably getting flooded with similar emails), should I also seek out a local mid-level executive to contact?

Thanks,
LH

[Moe Bedard]

I think you have the bases covered o.k.............did the email to Barbara go through, or did it get returned?

[renee626]

I have uncovered a fax number for B of A's Home Retention Team in the Loss Mitigation Dept; 716-635-7255 I believe I provided their phone number earlier; 800 846-2222. This last number I believe is in the Office of the President; 704-386-5681

[LHarveyMadman]

The message didn't get bounced back, and I tested the mailserver by trying to send a message to an obviously nonexistent address, and it bounced back immediately. So, I'm assuming that it made it to her mailbox. Now the question is whether she or any one of the execs will respond, or at least forward it on to someone who can help.

How much of a pest should I be? When should I follow-up if I don't get a response?

Thanks!

[Moe Bedard]

for follow up........Tues. and Thurs. are good days to get updates.....so you might want to give it until Tues. and then call for the update.

[LHarveyMadman]

Whom should I call? Since I didn't get anywhere with the Homeownership Retention team, I don't know if that's where to start. But I suppose I could call to see if my request has resulted in any sort of new file or pending action.

I guess I was wondering whether I should attempt to email the same executives (plus a few additional folks) if I don't hear anything. FYI, the people whom I emailed were Lewis, Dinsmore, McGee, Desoer, and Baker.

LH

[Moe Bedard]

I had posted this number for you, but you had mentioned that you were calling the Homeowner Retention Dept.........which I think is a different number than this.........

Bank of America
Loss Mitigation
1-800-846-2222

[LHarveyMadman]

Oh, yes you did post that number. When I first called the Homeownership Retention number, they actually transferred me to that number, but the folks on that end also said that they couldn't do anything for me just yet. I'll just go ahead and try both numbers when the time comes. Thanks again.

[HopingtoFind]

LHarveyMadman, I was wondering.... Did anyone end up responding to you, were you able to speak with someone higher up?

[LHarveyMadman]

Yes, I finally got someone's attention. Things are still currently in flux, but overall the signs are positive. When I have something more concrete I will post a progress report.

[HopingtoFind]

LHarveyMadman... what do you think you did that got you the attention? also was it on a HELOC as well, or just the 1st?

[LHarveyMadman]

I don't think I did anything substantially different from anyone else here on these forums. I tried calling, and when that went nowhere, I wrote a detailed email message addressed to select B of A executives. In my letter, I laid out a specific proposal that I felt was mutually beneficial to both lender and borrower. I also added a little bit of a personal touch by including a few details about my family and me - basically, to show that we are nice people who deserve consideration. I don't know if this carried any weight, but I like to think that it made a small difference.

This mod is only on my first mortgage. Like I said in the thread that you started, I don't know if any lender is modifying HELOCs, especially if there is a primary mortgage hanging over it. Plus, interest rates on HELOCs are at historic lows, so there is probably little that can be done to improve your situation. What is the margin on your HELOC?

[Enrique]

LHarveyMadman, I would like to contact the same execs... very badly as I am in a very similar position as you. Except that I'm upside down 200K

[LHarveyMadman]

The execs that I emailed were Kenneth Lewis, President; Liam McGee, Consumer and Small Business Banking; Mary Ellen Baker, Service and Fulfillment Operations; and Barbara DeSoer, Mortgage and Home Equity Services.

I don't think I'm allowed to post their email addresses - maybe *** could send them to you? I don't know if there is a way to send private messages through these forums.

I picked these names out of a longer list of about 15 Bank of America contacts. I didn't think that several of the names were appropriate recipients for my inquiry. For example, there are a few spokespersons who almost certainly don't have any real influence on fiscal matters. A couple others are dedicated to global investment banking, which didn't seem to apply here. Ditto for the CFO and the Chief Administrative Officer.