There have been numerous complaints against Countrywide Home Loans in that past years. However, Countrywide was purchased by Bank of America in 2008 and it appears that some of this same gripes have gravitated towards BofA. The issues that these banks have seem to be universal and not just Bank of America.
One complaint that is played out often is that they deliberately do not post their payments at the proper time. Many customers claim that this is done on purpose in order to charge a penalty against them for being late. Another complaint is about the inefficiency of this company to process the documents for a short sale and or loan modification.
Because of repeated claims of not having received the documents submitted to them, the process for any type of loan workout was taking so long that the homeowner was beginning to feel apprehensive that the buyer or homeowner may soon lose interest and they might go into foreclosure.
Another complaint is the failure of Countrywide Home Loans (now Bank of America) to send the the bills to a customer for two months. When the customer paid for two months she was made to pay a penalty fee for late payment. The company argued that the paper bills that are sent to the customer are not really necessary because the customer could check her account online.
Another complaint had to with refinancing, which was denied. Instead,
the bank increased their monthly payments four months ahead of schedule. The monthly payment almost doubled in the process and when the customers complained about it, they were told that it was really up to BofA to decide when to increase the interest rate and by how much. Ultimately, this resulted in some customers losing their homes.
In another complaint, a customer pointed out that he had never experienced any problems with his second mortgage until the former loan owner filed for
bankruptcy and Bank of America was able to take ownership of the loan. He explained that he had always sent his payments well ahead of the due date but BofA was very slow in processing the payment and then claimed that the customer was late. The customer thinks that they had been doing this on purpose to force him to pay a penalty fee.
Here are some lawsuits going on right now that you can research:
- Greene v. Countrywide Home Loans, Inc et al – AZ Fair Credit Reporting
- Justin Mir v. Countrywide Home Loans Inc et al – CA Fair Credit Reporting Act
- Countrywide Home Loans, Inc. v. Arazo et al – FL Truth in Lending Act
- Goyette v. Countrywide Home Loans, Inc. et al – CA Truth in Lending Act
- Storlazzi v. Countrywide Home Loans Inc. et al – NV Truth in Lending
My name is Maurice “Moe” Bedard. I am the founder of America’s #1 Mortgage Forum, LoanSafe.org. My online work has been featured in the New York Times, LA Times, Fox Business, and many other media publications.