Well isn't that nice, I sure hope that they also reduce my
principal as a good gesture for being responsible and paying my
mortgage and not buying a house I couldn't afford or buying at the
top in 2006. I bought a house last Nov for example.
I hate principal reductions, at the very least, I hope there are
some kind of strings attached for the future i.e. for example if
they were to sell the house say 5 - 10 years later for a profit,
the amount reduced from the profits should be deducted
Strings attached, Matt? What a novel idea.
Why would the banks feel obligated to set a precedent
when our government refuses to follow such sensible advice.
After all, no demands for a share of future profits (or
interest) were insisted upon when bailing out Goldman Sachs et
all. Best deal we negotiated was a return of
capital...if that. Could've easily demanded 50% of all future
profits in exchange for the lifeline they were thrown.
I'm sure you're aware the banks have been doing this for
sometime now. However; in order to qualify the mortgagee has to be
3 months behind in payments.So anyone who's current is not
eligible. In BOA's case, this is an attempt to clear out all the
garbage they bought from Angelo Mazzillo/ Countrywide. Pathetic...
This is like telling people to stop paying your mortgage and you'll
be rewarded.
Agree wholeheartedly with your point of view, KC. Simply
inconceivable!! I can imagine reducing the interest rate
on a mortgage in certain circumstances, but reduce
the principal owed without payment??!? I'm speechless.
You're right: this will encourage those who may be borderline to
simply stop making payments. Nice deal if you can get it.
As for the rest of us: The only way our principal is reduced is
by us continuing to MAKE our monthly payments. Talk
about a mixed up world.
BOA offers principal reductions on Mortgages
Posted by matt on 8th of May 2012 at 01:01 pm
Bank of America Offers Principal Reductions to 200,000 Homeowners
Well isn't that nice, I sure hope that they also reduce my principal as a good gesture for being responsible and paying my mortgage and not buying a house I couldn't afford or buying at the top in 2006. I bought a house last Nov for example.
I hate principal reductions, at the very least, I hope there are some kind of strings attached for the future i.e. for example if they were to sell the house say 5 - 10 years later for a profit, the amount reduced from the profits should be deducted
Strings attached, Matt? What a
Posted by RichieD on 8th of May 2012 at 03:18 pm
Strings attached, Matt? What a novel idea. Why would the banks feel obligated to set a precedent when our government refuses to follow such sensible advice. After all, no demands for a share of future profits (or interest) were insisted upon when bailing out Goldman Sachs et all. Best deal we negotiated was a return of capital...if that. Could've easily demanded 50% of all future profits in exchange for the lifeline they were thrown.
BOA mortgages
Posted by kc on 8th of May 2012 at 01:21 pm
I'm sure you're aware the banks have been doing this for sometime now. However; in order to qualify the mortgagee has to be 3 months behind in payments.So anyone who's current is not eligible. In BOA's case, this is an attempt to clear out all the garbage they bought from Angelo Mazzillo/ Countrywide. Pathetic... This is like telling people to stop paying your mortgage and you'll be rewarded.
Agree wholeheartedly with your point
Posted by RichieD on 8th of May 2012 at 03:02 pm
Agree wholeheartedly with your point of view, KC. Simply inconceivable!! I can imagine reducing the interest rate on a mortgage in certain circumstances, but reduce the principal owed without payment??!? I'm speechless. You're right: this will encourage those who may be borderline to simply stop making payments. Nice deal if you can get it.
As for the rest of us: The only way our principal is reduced is by us continuing to MAKE our monthly payments. Talk about a mixed up world.
The loan must be currently
Posted by smoothy on 8th of May 2012 at 03:32 pm
The loan must be currently in default. You can't convert to deadbeat now..it's too late. It's a sick world we live in today mates.