If you receive a letter from Bank of America (BofA) offering to lower your mortgage principal DO NOT THROW IT AWAY!! It is not a scam!
BofA will be sending a letter to a selected group of struggling mortgage borrowers with an offer to reduce their mortgage principal. BofA has committed $11 billion to mortgage principal reduction. Five thousand borrowers have already received a collective $700 million in principal reduction.
BofA Executives say borrowers receiving the letters are eligible, but they still have to prove they qualify. If the borrower qualifies, BofA will bring the monthly mortgage payment down to 25 percent of the borrower’s gross income.
For more information, read CNBC’s article posted on Yahoo! Bank of America Offers Principal Reductions to 200,000 Homeowners