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Company Loan Type APR Est. Pmt.

BoA no fee rate modification program

Posted on: 03rd Feb, 2008 06:49 pm
I am wondering if anyone is currently on the "no fee rate modification" Mortgage plus program, which was offered by Bank of America in late 2006/early 2007. This program was offered only in the state of Washington. Under the terms of this program, customers can reset to a lower rate if the interest rates for their mortgate fall. Now that rates have fallen to an all-time low, have people had any success in getting their rates reset ?

I called BoA and they offered me a ridiculously high rate, much higher than the market average and way above my current rate. I feel cheated.
Hi,

There are 3 of us in our group who got the "no-fee" rate modification mortage from bofa around December 2006. Each of us has called Bofa customer service several times in the past two years and every time their reply was that the rate is higher. 3 weeks back one of my friend called and luckily got his rate reduced from 6.00% to 5.375%. I called the next day and was told that the rate is higher which did not make sense. I am going to be suing Bofa for breach of contract. If anyone is interested in joining please contact me at "naveenpa@gmail.com". If there are enough of us, we have a class action law suit against Bofa

[Email address deactivated as per forum rule]
Posted on: 25th Apr, 2009 06:31 pm
We're in a No Fee Rate Mod program with BoA. Was able to reduce interest rate with them last year from 6.5 to 6.25%.

According to our contract with BoA, we're eligible to exercise this option for the lifetime of the program, once every 12 months. Since interest rates are so low these days, we called the bank again several times. They keep giving us a much higher rate than what we have now. This is not right.

There is a class action complaint about this that we found online: complaint No. C090663.
Posted on: 23rd Jun, 2009 11:40 am
If a rate modification fee is charged; Should it be trated as a finance charge, or as a fee to Lender?
Posted on: 27th Sep, 2010 06:13 am
Hi Elvis!

Welcome to forums!

As far as I can understand, a rate modification fee will be considered as a fee to the lender. It won't be considered as a finance charge.

Feel free to ask if you've further queries.

Sussane
Posted on: 28th Sep, 2010 12:48 am
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