Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
Federal Court to Hear BofA Loan Modification Class Action Lawsuit
By Matt O’Donnell
A federal court is set to hear claims from multiple class action lawsuits that say Bank of America improperly administered the federal Home Affordable Loan Modification Program, costing homeowners their chance to avoid foreclosure.
Homeowners across the country sued Bank of America last year after trying, unsuccessfully, to participate in HAMP. Bank of America accepted more than $25 billion in government bailout money, as part of the Troubled Asset Relief Program (TARP), that was intended to help struggling homeowners make their mortgage payments and avoid foreclosure. Companies that accepted money under TARP are subject to mandatory inclusion in the Home Affordable Modification Program (HAMP) — a government program designed to stem the foreclosure crisis by providing affordable mortgage loan modifications and other alternatives to foreclosure to eligible borrowers.
“Though Bank of America accepted $25 billion in TARP funds and entered into a contract obligating itself to comply with the HAMP directives and to extend loan modifications for the benefit of distressed homeowners, Bank of America has systematically failed to comply with the terms of the HAMP directives and has regularly and repeatedly violated several of its prohibitions,” states one of the Bank of America HAMP class action lawsuits filed in Missouri last year.
Homeowners across the country subsequently sued Bank of America last year for either failing to grant permanent loan modifications or failing to even acknowledge they received modification applications, despite the homeowners meeting the qualifications necessary to receive help.
The Bank of America HAMP class action lawsuits were consolidated into one case: In Re Bank of America Home Affordable Modification Program (HAMP) Contract Litigation, Case No. 1:10-md-02193-RWZ, United States District Court, District of Massachusetts.
Updated July 21st, 2011
All class action and lawsuit news updates are listed in the Lawsuit News section of Top Class Actions
Top Class Actions Legal Statement
55 thoughts onFederal Court to Hear BofA Loan Modification Class Action Lawsuit
Is it to late to become involved with this class action law suit. I still have all of my Loan Modification materials from BofA. I have been trying since 2009 and have literally documentation of speaking to at least 40 BofA Representatives who did absolutely nothing with my loan modification request
Same story for me. They should not be allowed to do this to the entire country! When is anyone going to do something about it????? I think we should start a new Class Action.
Is it to late to become involved with this class action law suit. I still have all of my Loan Modification materials from BofA. I have been trying since 2009 and have literally documentation of speaking to at least 40 BofA Representatives who did absolutely nothing with my loan modification request
Same, I tried 3 years ago to modify the loan and was denied – I was bed ridden after having implants placed in my jaw and contracting a bacterial infection through the surgery process. I opened the modification process and my loan was sold off to Resurgent, after I was approved somehow (I think this class action lawsuit made them open up their review process a bit). Regardless, the new loan servicing company provided the same sh*tty servicing through the ‘musical chairs’ run around of shifting mod. specialists, extensive requests for completed documentation though I’d provided everything the first time it was asked for.
It’s a racket, plane and simple; I damn these folk to a life of living hell for all of the pain and misfortune they’ve all caused.
Remember, these banks that own your notes are getting FREE MONEY from the government currently (fed funds rate is 0%-025%); their is no reason for them to work on investing in their customer base so long as the government is undercutting its citizens and not protecting us.
We exist to provide profit to our governments and to these banks, know your place in this world my dear folk.
As for me, I will never again get a loan. I will never recommend any bank again for any type of product or service. Credit Union from here on out.
For Profit Banking should be banned in this nation. It is the ruin of us all. Only Credit Unions should be legal.
For those of you out there that think Credit Unions are honest and fair you better think again. I have been dealing with Safe Federal Union as my Home Mortgage Servicer for 10 years, when I lost my job last year (2014) I made a small request of a Mortgage Loan Modification Application and til this date 3/26/15 I gotten no response. I received one letter from the loan manager and I was full of lies to try and clear and their wrong-doing.
I even complained to NCUA Consumer Protection Bureau and that office sided with Safe. So, Please don’t think credit unions are fair because they are not. I have never been late with my mortgage payment, and I am not to this date in default, but NCUA and Safe lied and stated that my mortgage was in the default which it is not.
Sign me up I was in the same boat tried for 1 year to get a modification we had to keep sending the same forms over and over. They continually would reassign me to a different representative so each few months I would be dealing with someone new and basically have to start over. I could never get anywhere just kept getting the runaround.
That’s exactly what I’ve been going through for over a year now. This is ridiculous. I will NEVER buy another house again because you can’t trust the banks. So much for the “American Dream.” It’s easier to rent!!
Same situation, I faxed in loan modification paperwork every 90 days as it would expire and everything would have to submitted again for review.
Sign me up! I started a modification in November of 2009, paid the “trial payment” through October 2011 when we were turned down for ” not sending in all our paper work”. Then they told us we needed to pay back 3, 000 dollars to make up for the “trial payments”. BOA then sold our loan to green tree. I inquired about a modification and they told me that we were not eligible because, according to BOA we did not make our trial payments. I have been told that the trial payments were to last 3 months and become permanent.
I started my loan mod in 2009 and like everyone else in this comment thread it took forever. Finally in Oct. 2012 I was approved! however it really wasn’t a modification at all. All they did was extend the life of the loan and roll the arrearages in to my balance. They never lowered my interest rate which is 6.1 and that was all I was ever asking for. They lied, gave me the run around, kept switching agents etc, etc,etc…I have two 4″ binders of the communications, letters, phone call logs everything! I am so ready to go after them! CONTACT ME!!!
My husband has terminal cancer. BofA put us into home loan mod. without our request or any paperwork.. My mortgage is current. I have tried every dept to clear up their mess. I received a FedEx letter yesterday stating I decided to sell my house and when I need to vacate!!! I am stressed beyond what I can take. I have told them the situation with my husband and they still don’t care to straigten this out! Please advise.
i started in 2009 on modification took 2 yrs. calling constantly to get update on terms never could get answer finally when i got papers only got 5.35 when original rate was 6.25 and rates at the time was in the low 3% they lowered mortgage but put large balloon payment at end of loan when i complained was told either take it or pay all the back money since trial payments where less.i couldn’t refi anywhere else because boa had reported to credit bur i was 60/90days late entire 2yrs.no one would tell me who set these terms now cant apply anywhere else because u can only get one hamp
Again…..
Too late for to be added?? I am getting no help from BofA or HUD or anyone else on this matter. I would share, but my story is the same as the above mentioned stories. Lies, NO communication, no help, more lies………When will this end. I have never had depression or anxiety in my life until dealing with BofA.
If you have been defrauded by Bank of American please report it to the Consumer Financial Protection Bureau. They will in turn open a complaint against BOA. I am trying to also file a lawsuit against Bank of America for Consumer Fraud.
I contacted consumer protection …..they need to be put out of business. Ridiculous.