Home Affordable Program is a result of the initiative taken by the Obama Administration in recent years. The program aims at bringing relief to those who has more debt obligation than they can handle affordably.

Moreover, the program offers opportunities to modify or refinance a mortgage in order to achieve an affordable target payment. Clearly there are two options before the borrowers – Home Affordable Modification and Home Affordable Refinancing. The criteria to qualify either of the two are different, so you need to check your eligibility first.

Recently, Bank of America has announced its underwater mortgage program under which it will forgive the principal amount for some underwater homeowners already getting the benefits of a federal home loan modification plan.

Bank of America Home Affordable Modification Program

The objective of BAC Home Affordable Modification (HAMP) is to make a monthly payment percent of the monthly income of the borrower. This percentage is calculated on the gross income right before earning is subject to applicable taxes and deductions. Moreover, only those homeowners who have taken loans before January 1, 2009 are eligible to apply. Furthermore, the amount one owes to their first mortgage must not be more than $729,750. Persons with FHA loans can avail the benefit under FHA Home Affordable Modification Program.

Bank of America Home Affordable Refinance Program

BOA Home Affordable Refinance Program aims at helping homeowners with insufficient equity in their home. To qualify for an affordable refinancing solution (HARP), one needs to have loan backed by either Fannie Mae or Freddie Mac. Moreover, their loan-to-value ratio (LTV) should not be more than percent on first mortgage. Furthermore, they are required to be current in their payment. To elaborate this point further, they should not have made any payment late for more than 30 days in the last one year.

Once you have ascertained the program you are eligible for you can contact the home loan assistance department to start the process of application. For any problems or complaints you can call 1.800.846.2222 to get instant help. If your application is denied for any reason, you can try other Bank of America Home Affordable Foreclosure Alternatives. To download online forms and the complete program packet visit homeloanshelp.bankofamerica.com. For other queries and details call the phone number 1-800-669-6607 to contact a customer service representative of the bank.