Home Loan Assistance FAQs

Forbearance is granted for a set period of time. But in many cases, dependency on an outside third-party, like an insurance company or getting hired after a period of unemployment is needed to help resolve the hardship. We also may be able to extend the forbearance period to accommodate your situation. All additional missed payments and interest will be added to the total amount that will need to be repaid. The exact repayment solution will depend on the owner or investor of the loan and your specific circumstances at the time, but please know we'll work with you.

If the first mortgage is with us, it may be possible to receive forbearance on the first mortgage, even if there is a second mortgage—with us or another lender.

If you're unsure, please call us and we'll confirm the owner or insurer of the loan.

We offer a variety of modification options. These programs are designed to address different circumstances, such as underemployment and whether the hardship is temporary or permanent. The best way to understand the options is to contact us.

No. If you believe it will soon be difficult to make the next mortgage payment on time due to a financial hardship (you may hear this referred to as “imminent default”), it may be possible to modify the loan.

Yes. Once a loan enters into a loan modification, it will be reported as “paying under a partial payment plan” during the trial period and as “modified” upon execution of the modification agreement. In addition, if payments are behind on the loan when the trial period is started, the loan will be reported as “delinquent” until it has been permanently modified, even as trial period payments are being made.

Please note: Credit scores are determined by the credit bureaus and not controlled directly by Bank of America. Our commitment is to accurately report the status of all our customers’ loans.

If the loan was evaluated for a modification and did not qualify or if you were unable to complete the modification trial, you may be eligible for other options, such as short sale, to settle the home loan debt and prevent foreclosure. Plus, you may qualify for assistance with relocation costs.

Yes. When you call, be sure to ask us to evaluate both the first mortgage and the home equity loan or home equity line of credit. Your Customer Relationship Manager will go over your financial information with you and compare it to all available loan assistance solutions. If you qualify, we can help you modify both.

Yes, if you qualify, we'll help you modify the home equity loan or home equity line of credit that you have with us. If you're facing a financial hardship, we also recommend that you contact your first mortgage servicer about modifying or refinancing that loan.

Yes, if you qualify, we'll help you modify the home equity loan or home equity line of credit that you have with us.

Yes, once a modification is complete, the loan will be reported as "paying under a partial payment plan" during the trial period, and as "modified" upon execution of the modification agreement. In addition, if payments are behind when the trial period starts, the loan will continue to be reported as delinquent until it has been permanently modified, even if trial period payments are being made. A modification is intended to enable you to keep your home.

Please note: Credit scores are determined by the credit bureaus and not controlled directly by Bank of America. Our commitment is to accurately report the status of all our customers.

You may still be eligible, depending on the loan and circumstances. Please call us to discuss your options. In most situations, you must be reviewed for a loan modification or other home retention options before eligibility for a short sale is determined.

The property must generally be owner occupied, meaning you live in the house as your primary residence. You may be allowed to proceed with a short sale if you had to move out because of the adverse financial circumstances (typically caused by job loss, transfer, divorce or a death) that prevented the mortgage payments from being made. In addition, the property must not have been purchased as a rental investment or used as a rental unit for more than 18 months.

Please call us to discuss your options.

In most situations, you must be reviewed for a loan modification or other options before we can proceed with any requests to pursue a short sale. If you've already been evaluated for a loan modification or other home retention option and didn't qualify, you may be able to follow the traditional short sale process.

Please call us to discuss your options.

Once you have submitted all of the required documents, obtained a valid offer on the property, and signed and returned the approval to participate from the owner or insurer of the loan, the foreclosure process may be halted while you are pursuing the sale, subject to applicable law.

A loan can be transferred to a different servicer while in the process of a short sale. You may hear this referred to as a service release. A loan servicer sends your loan statements, collects your monthly payments (principal, interest, taxes and insurance) and handles other aspects of the loan. You'll be notified at least 15 calendar days in advance if the loan is going to be transferred to a new servicer. The new servicer will be aware of the short sale status and should have received all of your documents from us. You should continue to work with the new servicer to complete the process you've started or to determine which programs may be most helpful in your current situation.

If a short sale is completed on the property, we'll report that the loan was "paid in full for less than the full balance." You may consider consulting a credit expert or searching online for more information. To learn more about the potential effect of a short sale on credit, please visit the Federal Trade Commission website.

You should contact a tax professional to gain an understanding of any tax implications.

No. However, qualified homeowners may be eligible for relocation assistance¹ through the Cooperative Short Sale and Federal Housing Administration (FHA) Short Sale programs. In these programs, homeowners work with us prior to putting the property on the market.

If we're unable to get approvals from all the necessary parties, a deed in lieu of foreclosure may be an option. With a deed in lieu of foreclosure, you agree to transfer the title or ownership of the property to the owner or servicer of your loan in order to avoid foreclosure sale and satisfy all or a portion of the mortgage debt.

Please call us to discuss your options.

No. You can work directly with us to process your request.

No. A deed in lieu must be processed with the lender that holds the mortgage or the company to which you make monthly payments.

If you have a second lien on your house (also known as a home equity loan or a home equity line of credit), you need the lender's approval to proceed with a deed in lieu. In order to be approved for a deed in lieu, the title to the property must be clear. If a second lien is with Bank of America, we will complete a Second-Lien Release and work to get approval for the deed in lieu request. If a second lien is with another lender, you will need to contact them and request a Second-Lien Release. The lender needs to provide this form and send it to you.

The length of time depends on the loan and circumstances. It generally takes around 90 calendar days from the date we receive your financial documents. Once approved, you will be given 14 to 30 calendar days to relocate. Please call us to discuss your options. In most situations, you must be reviewed for a loan modification or short sale programs before you are eligible for a deed in lieu.

If you've already explored all options to keep the property, normal processing of the loan will continue and may include foreclosure, subject to applicable law. If you have questions about your options, please contact us for assistance.

Although a deed in lieu may have a negative effect on your credit, by completing this transaction you'll avoid a public sale or auction of your house and can begin rebuilding your credit sooner.

We will continue to report the actual status of the account to all credit reporting agencies in accordance with the Fair Credit Reporting Act (FCRA). Upon completion of the transaction, we will report the account as "deed received in lieu of foreclosure on a defaulted mortgage" if you complete a deed in lieu of foreclosure.

Learn more about the potential impact of a deed in lieu on your credit.

Yes, there are alternatives to foreclosure, including short sale and deed in lieu that may allow you to settle the mortgage debt. Please contact us right away to explore options that may be available to you.

Yes. We may not start or advance foreclosure proceedings while the loan is under review for loan assistance. The evaluation process for loan assistance begins when we receive all documents we've requested.

Depending on your loan status, there may be fees associated with a mortgage. For example, there are charges for certain payment options, late payments, and returned checks. You can see these on our list of mortgage servicing fees. There may be additional charges if mortgage payments are not made. You can see these on our list of default related service fees.

A mortgage account may be charged for costs associated with nonpayment. Learn more about specific charges by viewing default related service fees.

Please mail all notices of error or requests for information to:
    Bank of America
    Attn: Notice of Error & Request for Information
    P.O. Box 942019
    Simi Valley, CA 93094-2019

It's a written notice from you that details error(s) you believe have been made relating to the servicing of a loan. Your notice must include:

Your name
The loan number and/or property address
Details about the error(s) you believe have taken place

Only errors related to the servicing of a home loan are covered through this process.

A request for information applies generally to any written request from you for information about the servicing of a mortgage. Please make sure your request includes:

Your name
The loan number and/or property address
Details about the specific type of information you are requesting from us about the mortgage

No, a notice on a payment coupon or any other payment form isn't considered a notice of error or request for information.

If you have a question or concern about a payment, please call us at 800.669.6607 (Monday-Friday 7 a.m.- 10 p.m. Eastern).

Within 5 business days from when we receive your request, we'll mail you a letter to let you know that we've received your request.

Then, within 30 business days after we receive your request, we'll mail you a letter providing details on the outcome of our investigation. If we agree that an error has occurred, we'll correct the error and include this in our response.

Please note that if the error relates to providing an accurate payoff balance, we'll respond within 7 business days.

If we determine that an error has occurred, we'll mail you a letter explaining:

The correction that was made
The date when the correction was made
Information about how you can contact us if you need further assistance

If we discover that no error took place, we'll mail you a letter explaining:

That no error happened
The reason(s) for that determination
Details about your right to ask for the documents we reviewed to determine that no error took place and how to submit that request
Information about how you can contact us if you need further assistance

Please note that if we determine that additional time may be required to properly research your request, we may extend the review period by 15 business days. If this extra time is needed, we'll mail you a letter before the end of the 30 business-day review period to let you know, and we'll explain the reasons why the extended review is needed.

Within 5 business days from when we receive your request for information, we'll provide you a letter letting you know that we received your request.

Then, within 30 business days after we receive your written request, we'll:

Either provide the information requested
Or conduct a reasonable search for the information and provide you with a written notice that the information isn't available

If the information you requested isn't available, we'll mail you a letter with details about how you can contact us if you need further assistance.

Please note that if we determine that additional time may be required, we may extend the response period by 15 business days. If this extra time is needed, we'll mail you a letter before the end of the 30 business-day research period to let you know, and we'll explain the reasons why the additional days are needed.

We'll be happy to continue to service the account through email, phone and our banking centers. However, we encourage you to submit any notices of error or requests for information to us in writing at the P.O. Box above to make sure that you receive all the protections under the Real Estate Settlement Procedures Act (RESPA).

No, we do not charge a fee for responding to notices of error or requests for information.

In the mortgage lending industry, it is a common practice to transfer or sell the loan servicing to other experienced mortgage service providers. After a loan is transferred, the new servicer takes care of all loan servicing needs including billing, payment processing and customer support.

Yes, you will be sent a letter at least 15 calendar days in advance of the change, with information about your new servicer. It will explain that monthly statements and other account information will come from the new servicer and that they will help you with any questions about the loan, including any loan assistance solutions. The new servicer will also send a welcome letter introducing themselves to you.

We expect that the quality of your loan service will not change. The loan will be transferred to an experienced mortgage servicer who will work with you on any mortgage concerns.

The loan assistance programs that may be offered by your new servicer are determined by the owner (also known as the investor) or insurer of the loan. The servicer of the loan is required to evaluate any loan assistance request under the guidelines set forth by the owner or insurer of the loan. If you experience a hardship and home loan payments are not made after the servicing of the loan has been transferred, please contact your new servicer right away to request help. Your new servicer will determine which program may be right for you based on the applicable investor or insurer guidelines.

If you are being considered for a loan modification or other programs when the loan is transferred, your new servicer will be aware of your status and should receive all of your documents from us. You should work with your new servicer to complete the process you have started or determine which programs may best suit your current situation. If you are currently awaiting a decision regarding qualification for these programs, that decision will now be made by your new servicer.

After the transfer is complete, the mortgage account will be moved to the new servicer. As a result, you would no longer access your mortgage information through Bank of America. Prior to the transfer, you may choose to download any information currently online to keep for your own records, such as tax documents, mortgage statements, payment history, etc. The new servicer will be able to provide you with information about access to your loan account information following the transfer. If you have any other accounts with Bank of America, such as checking, savings or credit card, you will still be able to access those accounts through Bank of America's online banking. Please note that if a loan is subject to a bankruptcy case, the mortgage information will not be available online.