I recently received a mortgage modification decision from my mortgage servicer ( Bank of America ) after 4 months of making trial payments to qualify for a mortgage modification. I had requested a mortgage modification after inquiring about not being able to refinance my home loan due to the property value being less than the mortgage I was paying. ( Under Water Homeowner ) The decision I received in the settlement from BOA reduces my mortgage {$350.00} per month and the interest rate changes from 5.25 % to 4.375 %. However, the term of the loan is now going to reset to 30 years and way they are lowering my payment is by taking {$40000.00} of principal out of the home loan and putting that amount at the end of my 30 year mortgage as a balloon payment that must be made to HUD. I can not afford the mortgage currently and I can not refinance the loan because I have no value in the home, so what makes BOA think I will have the {$40000.00} balloon payment at the end of my 30 year term and not offer me any other solutions other than a " take it or leave it '' deal? BOA is not offering any relief other than moving some of the money around to make it look like the payment is smaller, but in reality I still owe this money on a home that is currently worth LESS than my loan. I qualified for all of their criteria for assistance and what they are offering me is a dead end in my eyes. BOA never disclosed any of the information about a balloon payment as a modification solution when the assistance process started. Had I known, I would have refused this assistance and requested other options. I feel this is deceptive on their part and not cooperative with me, the consumer. I also want to note that I was current on my home loan at the time this started and BOA suggested this in order to help with a refinance and instructed me NOT to pay my current mortgage once the modification process started. I feel like I 've been railroaded into a situation that I wo n't be able to find a solution. 
