BofA Says Borrower Relief Under U.S. Deal Reaches $8.1 Billion
Bank of America Corp., the second- largest U.S. lender by assets, said updated figures show it has completed about $8.1 billion in homeowner relief under a nationwide settlement of foreclosure abuses.
The bank had $5.8 billion in short sales completed as of Aug. 21, $596 million in first-lien loan modifications finished and $1.7 billion in forgiveness on home-equity lines of credit, according to Dan Frahm, a spokesman for the Charlotte, North Carolina-based company.
Data released today by the Office of Mortgage Settlement Oversight showed the firm had $4.9 billion in relief closed as of June 30, almost all of it attributed to short sales. That figure was contained in a report from Joseph A. Smith, the monitor assigned to police the settlement reached in February by the nation’s biggest home lenders with regulators and state attorneys general.
“You are seeing a faster start on short sales completed under the agreement because that didn’t require a new process to be built, compared to first-lien modifications and the refinance program,” Frahm said. Eventually, most of the credits for Bank of America will be loan modifications, he said.
Bloomberg moderates all comments. Comments that are abusive or off-topic will not be posted to the site. Excessively long comments may be moderated as well. Bloomberg cannot facilitate requests to remove comments or explain individual moderation decisions.