Bank of America Wants Money Up Front as Part of Loan Modification Approval
I was approved for a traditional loan modfication thru B of A. They want $ 6100 up front in certified funds. Is this right ? Can't afford it.Mortgage Loan Modification Answer:
It is not uncommon for lenders to ask for certified funds upfront as part of their loan modification approval. This is usually the case when you've been delinquent for a very long time.
This happened to someone I know who was delinquent for almost two years prior to becoming approved for a loan mod. Their bank's excuse for asking for funds upfront is that they wanted a show of commitment and goodwill from the borrower. They also assume that borrowers should have the funds since they haven't paid their mortgage for some time.
I'm not sure of your situation, but perhaps you can negotiate with your lender to pay in installments, or if they can capitalize the amount into your loan, or ask for them to forgo it altogether.
Best of luck to you.HAMP Loan Modification GuidelinesLoan Modification Success StoriesNo Upfront Fee Loan ModificationTraditional Loan ModificationForeclosure OptionsForeclosure and BankruptcyReturn To Foreclosure Help Center HomepageBLOG - Questions and Answers