bank of america foreclosure process
Bank of America foreclosure process is what is known as “involuntary process of foreclosure.” What that means is, when someone has fallen on hard times and cannot pay their mortgage or have fallen behind in payments, this is the way it goes. Once someone falls behind, the bank of America will foreclose on the homeowner and sell the property at auction to the highest bidder at a public auction. When that happens, the bank will collect the balance that the borrower owes plus costs for the foreclosure sale. It pays to understand how the bank of America foreclosure process works.
steps of the bank of america foreclosure process
The first step in the foreclosure process is the lawsuit. A homeowner that is behind on their mortgage may submit a lawsuit and ask for a Bank of America foreclosure lawsuit. In some cases, if the borrowers are unable to repay the mortgages, they may submit a deficiency judgment, which means that they are able to collect damages from the defendant to pay off their mortgage.
The second step in the process is the deficiency judgment. This is a class action lawsuit and if the class is large enough, they may be able to get back almost all of the money that they lost in the foreclosure. This is why Bank of America foreclosures are so profitable. If a huge percentage of the class is unable to afford their mortgages, Bank of America gets to keep almost all of the money. This is called the “economic loss principle” and this is how Bank of America makes their millions.
Next, in the foreclosure process, they will offer a proposed plan to the borrowers. There is a possibility that this plan will not be accepted. If the homeowners do not accept the plan, they can lose their home. If the plan is approved, the borrowers are usually given a notice of default.
Bank of America is just one of the many banks in the United States that engage in the practice of buying homes in bad neighborhoods. This practice has lead to the rise of Bank of America foreclosure lawsuits. There have also been cases of Countrywide and American Home Mortgage to engage in foreclosures that leave families homeless. In fact, there are literally millions of families in the United States that face the reality of losing their homes to Bank of America foreclosures.
Bank of America has come under fire from both the left and right. Many people are calling for boycotts of Bank of America due to their practices in dealing foreclosures. If you are one of the people who have been affected by Bank of America foreclosure lawsuit claims, you may wish to contact an experienced attorney who specializes in representing foreclosure victims. It may take some time to find an attorney to represent your case but you will be able to obtain the compensation that you deserve.
Related Article: Foreclosure Timelines