Even as the economy recovers, many people continue to struggle. Bank of America continues to focus on helping distressed homeowners with more customer outreach efforts, developing innovative programs and increasing our collaboration with nonprofit housing counselors. And with the creation of Legacy Asset Servicing, led by Ron Sturzenegger, there is greater focus on helping homeowners find viable solutions.
As part of the bank’s customer outreach efforts, we have opened 50 Customer Assistance Centers (CACs) in some of the country’s hardest-hit communities. These centers provide a face-to-face environment where customers experiencing a financial hardship can get assistance with any of Bank of America consumer products, including mortgage, home equity, auto, credit cards and personal loans.
Helping homeowners find appropriate solutions
At Bank of America, we consider foreclosure the last option. We are committed to working with each homeowner to find the solution that best fits their situation. We review all customers for eligibility to participate in the federal government’s Home Affordable Modification Program (HAMP) or one of our proprietary loan modification programs.
Because not all customers will qualify for a loan modification program, Bank of America also offers a short sale program—an agreed-upon sale for less than the value of the mortgage—as an option. With a short sale, real estate agents are critical to a successful transaction. To create more efficiency, the bank established a dedicated team of short-sale experts and uses an online system that enables customers and agents to track the progress of a short sale. Another option for customers who can’t remain in their homes is a deed in lieu of foreclosure. With a deed in lieu, the customer is approved to voluntarily transfer ownership of their property to Bank of America to satisfy their mortgage and allows the customer to avoid the stigma of foreclosure.
Since January 2009, Bank of America has participated in more than 800 homeowner events, meeting with more than 130,000 customers. Bank of America’s events are in addition to those we participate in that are hosted by a third party such as the Alliance for Stabilizing our Communities, HOPE NOW and the Neighborhood Assistance Corporation of America. We have also assisted more than 75,000 customers since the first CAC opened in 2009.
Since January 2008, Bank of America has completed more than one million loan modifications through all available programs, including more than 800,000 through the bank’s proprietary programs. By continuing to find appropriate customer solutions, streamline our processes and get more properties back on the market, Bank of America is working to stabilize communities and get the housing market back on track.