The largest U.S. mortgage lender, which agreed last week to be acquired by Bank of America Corp <BAC.N>, said it modified home loans for 55,801 borrowers, set up long-term repayment plans for 12,100 borrowers, and provided assistance to 13,355 other borrowers.
NEW YORK (Reuters) - Countrywide Financial Corp <CFC.N> said on Wednesday it helped more than 81,000 borrowers stay in their residences and avert possible foreclosures in 2007, by either modifying or otherwise restructuring their home loans.
The largest U.S. mortgage lender, which agreed last week to be acquired by Bank of America Corp <BAC.N>, said it modified home loans for 55,801 borrowers, set up long-term repayment plans for 12,100 borrowers, and provided assistance to 13,355 other borrowers.
Countrywide said more than two-thirds of the workout efforts took place in the second half of the year, as U.S. housing troubles grew worse.
It is often less costly for lenders to restructure home loans than to begin the foreclosure process after borrowers default.
!ADVERTISEMENT!Countrywide has in the last few months set up a variety of initiatives designed to minimize defaults, including a $16 billion plan to help 82,000 borrowers who face higher payments on adjustable-rate mortgages before the end of 2008.
Critics of Countrywide have long faulted the Calabasas, California-based lender for putting thousands of homeowners into mortgages they could not afford. Countrywide handles billing and payments on 9.03 million home loans.
Bank of America's agreed to pay $4 billion in stock for Countrywide, about $22 billion below Countrywide's market value in early 2007. The transaction is expected to close in the third quarter.
(Reporting by Jonathan Stempel; Editing by Braden Reddall)
