edited title: BofA lags in modifying loans under settlement

Quote:

http://www.reuters.com/article/2012/08/2....
Wed Aug 29, 2012

(Reuters) - Bank of America Corp hasn't completed any first-mortgage modifications that reduce loan balances for borrowers so far under a $25 billion settlement reached this year, the official monitoring the agreement said Wednesday.

Five financial institutions that are part of the settlement have provided $10.6 billion in consumer relief from March 1 to June 30, with $8.7 billion in the form of short sales in which customers sell their homes for less than the mortgage's value. Bank of America produced $4.8 billion in short sales, the most of the five banks, according to the first report by settlement monitor Joseph Smith...

Quote:

The agreement required Bank of America, which bought subprime lender Countrywide Financial in 2008, to provide the most consumer relief. But in a securities filing this month it said a significant number of modifications had not yet been completed "due to the time required to underwrite the modified loans."

The bank so far has provided no relief through refinancings, according to the report. It has completed $54.2 million in second-mortgage modifications...

I have it under good authority they're starting to accelerate this little lag.

However, they're not targeting 1st mortgages....and they seem to be homing in on those loans that were already a guaranteed zero.