Confused About BofA Offer
Date: Fri, 03/27/2009 - 17:57
I just got off the phone with a manage at BofA. Have been trying to get a settlement offer that I can afford. Last week it was 35% and tonight it was 25% in which half was due up front and then the remainder due in 3 installments. I explained that I had the $3250 but there isn't an extra $1100 in my paycheck each month for the remaining installments. This really isn't true but I'm trying to negotiate with AMEX as well and I'm more scare of what they will do to me rather than BofA.
I asked if I could do more than 3 installments and I was told that according to the Federal Reserve they couldn't settle for anything less than 25% and no more than 3 monthly installments. Restrictions for getting bailout money I guess. Anyway, the manager said I could sign up for their hardship program which is $450 a month and when I had enough money to settle, then I can do so at that time. In all my conversations with BofA this has never come up. I was told once you're in the hardship program then that's where you stay. So now I'm confused. Has anyone encountered this?
If it's true, I'll do it just to keep from going to charge-off. But something just doesn't seem right. According to this manager, charge-off is 4/30 at which time it will either be sold to a CA or go to litigation for attachments to property. I live in TX so I'm not afraid of that. Any insight would greatly be appreciated.
I asked if I could do more than 3 installments and I was told that according to the Federal Reserve they couldn't settle for anything less than 25% and no more than 3 monthly installments. Restrictions for getting bailout money I guess. Anyway, the manager said I could sign up for their hardship program which is $450 a month and when I had enough money to settle, then I can do so at that time. In all my conversations with BofA this has never come up. I was told once you're in the hardship program then that's where you stay. So now I'm confused. Has anyone encountered this?
If it's true, I'll do it just to keep from going to charge-off. But something just doesn't seem right. According to this manager, charge-off is 4/30 at which time it will either be sold to a CA or go to litigation for attachments to property. I live in TX so I'm not afraid of that. Any insight would greatly be appreciated.
Settling the debt for 25% of the outstanding amount is a good of
Settling the debt for 25% of the outstanding amount is a good offer and you can settle off the debt after getting the settlement offer in writing from BofA.
Since you have money to settle off the debt, it is useless to go for hardship program and pay an additional $450 towards the debt.
