BofA Lends $758bn in 2009
Bank of America (BAC) said it extended more than $758bn in credit in 2009, including nearly $180bn in Q409. BofA originated $87bn in first mortgages to fund purchase or refinance loans for more than 400,000 borrowers in Q409. That total includes $23bn in mortgages made to 151,000 low- and moderate-income borrowers. For the year, BofA originated $378bn in first mortgages for more than 1.7m customers, including $87bn in mortgages to more than 561,000 low- and moderate-income borrowers. In Q409, BofA originated $3bn in home equity and reverse mortgage loans, bringing the total for 2009 to $13bn. In addition, BofA’s servicing unit extended trial mortgage modifications to more than 200,000 borrowers through the Making Home Affordable Modification Program (HAMP) and in total, made 260,000 loan modifications in 2009. “Bank of America can only succeed by doing all we can to contribute to the success of our customers, clients and the communities we serve,” said Bank of America president and chief executive officer Brian Moynihan. “The state of the national economy will continue to have a tremendous influence on our shared progress.” BofA extended $16bn in credit to small businesses and provided modified payment structures to more than 60,000 of its small business clients to improve the companies monthly cash flows “to help ride out the recession,” the Charlotte-based bank said. In addition, BofA said it will increase small- and medium-size business lending by $5bn in 2010. The bank said it lent $1bn to Community Development Financial Institutions (CDFIs), which extend credit to low-income and disadvantaged communities for small business microlending, housing, charter schools, childcare centers, and new primary health care facilities. In December, BofA repaid the US Treasury Department’s $45bn investment from the Troubled Asset Relief Program (TARP). Write to Austin Kilgore. The author held no relevant investments.