Bank of America Refinance Review

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Mark CappelMar 16, 2010
Key Takeaways:
  • Compare rates and loan terms Bank of America offers for refinance loans.
  • Do not just look at the rate or APR, but also fees and the lifetime TrueCost of refinancing.
  • Make sure that you know what type of loan you need before selecting a refinance lender.
Should I refinance my home with Bank of America?

Should I refinance my Bank of America loan. Interest rates are low and I am considering a Bank of America refinance mortgage loan and wonder if I should refinance my loan, and don't know if I should stay with Bank of America for my refinance or use a new mortgage loan lender.

Thank you for your question on Bank of America and refinancing your home.

Bank of America

In my opinion Bank of America appears to be a good choice to refinance your home with. As you can see on our lender profile page of Bank of America Profile, the positives are that they have convenient locations, a variety of loan products to choose from and competitive rates. However, you may want to consider that they tend to have high fees, and are reported by many users as having a lengthy loan process.

Shop Around for the Best Refinance Loan

When considering to refinance your home you need to consider the costs of doing the loan to determine whether it makes sense to do so. It is always a good idea to shop around and compare lenders to ensure you are getting the best deal. makes it easy for you to find the best deal by visiting the Refinance Savings Center, where you can get free quotes from up to four different lenders.

If you are looking into a mortgage or specifically a Bank of America refinance to lock in a low or fixed-rate mortgage, consider the following:

Adjustable Rate Mortgages

Do you have an adjustable rate mortgage (ARM)? As interest rates increase, ARM loan payments do too. Homeowners concerned about payments, and whose interest rate is higher than current fixed mortgage interest rates, should consider a refi mortgage. Many economists forecast basically stable interest rates for the short-term future but with the amount of uncertainty in financial markets, there is no telling. You can begin the process with a mortgage lender and have him or her watch rates for you to establish a good time to lock your loan.

Is Refinancing Affordable?

Refinancing involves expenses that can total around 2 percent of the total loan amount. Typically, financial advisors suggest a refi mortgage is worthwhile if the savings on payments will pay for the refinancing costs within two years. Homeowners can calculate their own "break-even" date by dividing the up-front cost (the figure on the Good Faith Estimate form) by the anticipated monthly savings. The answer is the number of months it will take to pay off the refinance — and sooner is better.

Have you grown roots? Homeowners who plan to stay in their home for a long period of time might find that a refi mortgage makes sense. If you have a long term left on your mortgage payments, and your rate is higher than market rates — or you have an ARM or balloon-payment loan and want the security of a fixed rate — you'll likely meet the "break-even" criteria outlined above. If you are confident that you are going to move from your home in 4 or 5 years, you should consider a 5-year ARM, as the interest rates will be lower.

Please use th Mortgage Affordability Calculator and the Mortgage Payment Calculator, to help you determine how much you can afford to pay and what your new mortgage payment will be.

Rates Only Part of the Equation

All of these and many others make up the list of reasons homeowners may choose to refinance their homes. Current interest rates are only part of the equation. Establish your goals, learn about your options, and make the decision that's best for you and your timetable. Before you decide to refinance with Bank of America take these factors into consideration.

Be sure to read our Bank of America Review and Profile on

I hope this information helps you Find. Learn & Save.




aanne go, Dec, 2014

Great Post. 

MMerlin Anderson, Sep, 2012
I can relate to others who have commented on the Bank of America and the poor customer service. I have been trying to get my loan modified for 14 months and it has not gotten out of review. I call them two or three times a week to get a progress report and the answer is always the same. They keep requesting data updates which have not changed since the last request. I am locked into a 5.8% loan and they are not about to reduce it to 3 or 4 anytime soon. It is all about money but the problem is I am running out. I got tossed into their hopper when they took over Countrywide and if I were given a choice they would be at the bottom of my list.
JJO ARNTZ, Oct, 2011
I would avoid BoA at all costs. I currently have my loan thru them. I have never missed a payment and only owe 110K on our home valued at 250K (tax assessment). I wanted to refinance to a lower interest rate. They ordered a new appraisal on our property and because their appraiser could not find 3 comparables, they would not do the refinance. I looked into a local appraiser, who was familiar with the area, and they found several comparables that could be used. BoA didn't care. They also had us fax the same information over and over again. Never returned phone calls. It was horrible. I have had my current loan with them for 15 years and have never been late on a payment and often doubled up on a payment and have paid off over 70K on the existing loan. That meant nothing!!!!!
BBill Admin, Oct, 2011

Don't let your horribly frustrating experience with Bank of America stop you from taking advantage of today's low rates. I suggest you get a free, no-obligation refinance quote with one of's pre-screened lenders.

CChris Robins, Sep, 2011
We have a first and second mortgage with BAC. Do whatever you can to get away from them, the bank is one of the worst. Since we bought the house 4.5 years ago, we have never been late on a payment, in fact it's on auto ACH payment each month so in cannot be late. BAC has made errors saying we were late several times when we were not regarding tax pYments as well. Customer service stinks, was outsourced to India several years ago, now I make sure I get a call center in Lancaster, CA or Arizona, or Texas. Way too many problems, costs us time and stress to fix their problems, and they won't even look at refinance if you're underwater which 25% of the country is currently situated. Pay them off as fast as possible, don't give them any more interest than you have to. Stay away from BAC and the other Big banks. Go with a local credit union. We opened several accounts at a military-related credit union and they've been great, especially compared to BAC, Wells Fargo, Chase and Citibank, all with whom I've done banking with before.
SSteve Bosu, Aug, 2011
Do all Bank of America branches have the same refinance loan rates, or do their rates change if I call or do it online instead of at my local bank? Please let me know, since I want to refinance at these crazy low rates!
BBill Admin, Aug, 2011
Lenders can have regional differences in the loans they offer, meaning that a loan through B of A on a Virginia property may have a different rate than loans offered on a California property. However, all the branches should offer the same rate for any loan within a single state.

I agree that you want to take advantage of today's low rates. I suggest you see what one of's approved lending partners can do for you. If nothing else, you can use it as a basis of comparison for what you find at B of A.