posted on Feb, 21 2014 @ 12:51 PM
I am posting this as more of a public notice. It would apply to anyone with Bank of America negative amortization mortgage. It may also apply to other
mortgage servicers as well.
The deal is that mortgage interest is deductible for tax purposes. These pick a pay or negative amortization mortgages allowed borrowers to pay less
than the amount due and that balance was then tacked onto the principal balance. This amount tacked onto the balance is considered deferred interest
but Bank of America did not report it that way. Thus anyone with these mortgages were not given proper credit for mortgage interest paid and resulted
in them paying higher taxes than they should have. .
Well someone sued and won and now Bank of America has to reissue all the mortgage interest paid statements from 2010-2012. I am party to this and thus
far have received restated tax forms for 2010 and 2011. Between the two I will be able to refile and eliminate almost $18,000 in income. 2012 should
be another $6-7,000. This will mean i will get a sizable refund. Bank of America has also agreed to pay $300 for 2009, for which tax returns can no
longer be amended and will also pay $150 each for 2010,2011 and 2012 to cover the cost of refiling taxes.