Previously: Bank of America: Slim the Slimeball
A cockeyed optimist might look at the foreclosure problems Mike and Mary Boehm are facing, at the mortgage modification that BoA is offering them, and say, “Look. All the pressure is working!” Indeed, one of the BoA people explained to Mike that a dozen different people–including Russ Carnahan’s office and Chris Koster’s office–have complained about the treatment the Boehms have received. So, since the family is a wee hair short of meeting the MHA standard for modifying a mortgage, the bank is prepared to offer an in-house mortgage modification. Isn’t that wonderful news?
Well, no. Not when you see the terms of the new deal.
Bad for America is offering to lower the monthly payments by $200–and extend the loan from a thirty year contract to a forty year contract. But the interest rate is still more than five percent. If Bad for America weren’t ruining the Boehms’ credit rating by saying that they haven’t been making their mortgage payments, the family could negotiate a better deal than that at another bank.
And the bank could fix their credit. It knows that for well over a year, the Boehms made the payments that a homeowner getting a modified loan would be making–made every one of them on time, because that’s the amount the bank told them to pay. The family has refused to pay all kinds of bogus “fees” that BoA has tried to impose on them–a typical money-grubbing scheme of these upstanding businessmen. But rather than just declare that the Boehms have met their fiscal obligations with BoA and let them negotiate a fair loan at a local bank,
Slim the Slimeball Bank of America is offering them this “deal”–just something to report to Carnahan and Koster to make it look as if they give a fig about a congressman’s or an AG’s complaint.
Brian Moynihan, CEO of Bank of America