Bank of America and Countrywide are preparing to mail out $7.46 million in funds that are to be used as restitution to Texas families who the Texas Attorney General determined were tricked, lied to, or maybe strongly encouraged to take on risky home mortgages they could not afford the monthly payments on. Most of these homeowners lost their homes to foreclosure, and these funds will provide needed relief and assistance.
Countrywide, which is now part of BOA, will soon be mailing out forms and details of the funds and how to receive a pay out. People should soon be receiving a form in the mail to fill out to request restitution, however if you do not receive one, you can also contact them directly to ensure you receive your money according to the Texas Attorney General's office.
The money being provided to Texans is just a small part of a $345 million settlement the attorney general’s office reached with Countrywide earlier this year. As noted, in 2008 Countrywide Financial was acquired by Charlotte, N.C.-based Bank of America.
While the exact amount of assistance provided will vary, qualified recipients will receive a minimum of $1,400 apiece as their portion of the foreclosure assistance.
Only those customers who took out Countrywide loans between Jan. 1, 2004 and Dec. 31, 2007 are eligible for this program. Those borrowers who lost their homes to the foreclosure process or who may have experienced a period of delinquency on their loan that lasted over 120 days are eligible to receive funds from this agreement.
In addition, as part of the finalized agreement, Bank of America and Countrywide also said it would perform free loan modifications for over 30,000 Texans, and this is a process that is valued at $335 million in mortgage relief to struggling homeowners.
his is not a new program as the office of Texas Attorney General Greg Abbott said the program to reimburse Texas families was first announced in February 2009, and it has taking this amount of time to finalize details.
The last part of the plan is that Countrywide also is funding a Relocation Assistance Program to those who have or will lose their homes. This amounts to $2.8 million in benefits and assistance to about 1,400 Texans who are in default on sub prime mortgages or other risky mortgages and are likely to lose their homes. If someone is eligible for this aid, they will be able to receive up to $2,000 in money to help them if they voluntarily turn over their homes into the program.
Dial 1.800.846.2222 to learn more on the Countrywide and Bank of America Texas assistance programs.
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