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Bank Of America Cuts 2 Million Customers Loose

Tuesday, May 14, 2013 - 8:14 AM
From The LA Times:
Bank of America mortgage borrowers who had account service fees waived will lose that benefit in a year because the bank sold its mortgage servicing rights to Nationstar Mortgage.... After a 12-month grace period, the bank says, fees will kick in for various services that might have been covered by a customer's home loan.

... I refinanced my mortgage to a Countrywide loan in early 2008, knowing that BofA was acquiring the lender. I wanted the lower rate, plus I knew I'd be able to eliminate fees on my BofA checking account. I felt pretty clever at the time.

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The "poor-me" tone of the article suggests that BofA is being disloyal to its customer base by taking this step and that it wants to get rid of customers that were part of its ill-fated acquisition of Countrywide.  However, servicing of mortgages is a profitable business, and it is not at all unusual for institutions to sell mortgage loan portfolios to other servicers.   
pearlbrownpearlbrown1,491 posts since
Nov 2, 2010
Rep Points: 6,486