Taylor Bean & Whitaker Update September 10, 2009
The following is an edited transcript of a conversation with Rick Simon, spokesperson for Bank of America. My conversation with Simon has been condensed to the more relevant issues.
Which Taylor Bean & Whitaker loans have transferred over to Bank of America?
The loans that have transferred to Bank of America include the Ginnie Mae loans: FHA, USDA, VA, rural housing and public and Indian housing. Those are the loans covered by Bank of America and are now with Bank of America Home Loan Servicing.
Has the Taylor Bean & Whitaker loan transfer process been fairly smooth?
It’s been a normal processing because Bank of America is the master subservicer for Ginnie Mae. Taylor Bean & Whitaker loans would automatically transfer to the subservicer on at least a temporary basis, which could also be for a long time.
How many Taylor Bean & Whitaker loans were transferred to Bank of America?
About 180,000 Taylor Bean & Whitaker loans were transferred. Those loans have been transferred and boarded on Bank of America systems as of the end of August. Letters have gone out to affected Taylor Bean & Whitaker borrowers with their new Bank of America account numbers and information they need about transfer.
All Taylor Bean & Whitaker borrowers should have received their Bank of America letters by September 4, 2009.
What should Taylor Bean & Whitaker borrowers do if they haven’t heard from Bank of America?
If you’re a Taylor Bean & Whitaker borrower and have a government-backed loan and haven’t heard from us, call our Bank of America loan servicing number 800-669-6607.
Some Taylor Bean & Whitaker borrowers are complaining that they are being contacted by Bank of America’s collections department. The collections department is claiming that their payments haven’t been made and they are in default. Is that right?
Here’s the official Bank of America policy: Taylor Bean & Whitaker borrowers need to know that there is a 60-day period during which if they attempted to make payment or had auto debit payment program, it would count as a good faith effort on their part to make their payment.
There is a grace period for anyone who attempted to make a payment or had auto-debit set up through Taylor Bean & Whitaker. During that grace period, no late fees will be charged and no credit reporting will be done on those loans for a period of 65 days from the time the loans actually transferred, which was September 1, 2009. So you have about 2 months to get your payments in.
To make it easier to understand, no later fees and no credit reporting done through the October payment period.
What’s going on with Taylor Bean & Whitaker borrowers’ homeowner insurance policies?
We’re not sure yet what’s going on with it. We thought the escrow accounts would transfer with loans, but some may be held up with ColonialBanc or for other reasons. I don’t know yet, but it is being addressed.
What should a Taylor Bean & Whitaker borrower do who was in discussions with TBW for a loan modification?
Loan modification process information should have transferred with loans and someone from Bank of America Home loan Servicing should be in touch with them shortly to follow up. Taylor Bean & Whitaker borrowers should not have to resubmit all of their documentation and start all over. But they can call customer service and make sure they’re aware in modification process.
Interview conducted September 1, 2009
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