Hopefully today is the day that my 40 day PMI saga concludes.

Countrywide has corrected Friday’s $1500 mistake and the balance on my mortgage is now less than 78% of the original value.

Even Countrywide’s website says so:

Countrywide’s PMI Deletion Page

Combine that with the FTC‘s claim:

For home mortgages signed on or after July 29, 1999, your PMI must be terminated automatically when you reach 22 percent equity in your home based on the original property value, if your mortgage payments are current. Your PMI also can be canceled, when you request – with certain exceptions – when you reach 20 percent equity in your home based on the original property value, if your mortgage payments are current.

So here goes nothing… I’m going to submit another request to Countrywide to have my PMI canceled.

Hopefully this time I won’t get the same form letter that I’ve already received twice


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  1. Dude, are you kidding me?
    July 29, 1999?

    I missed it by 3 months and 9 days!!! I closed on my house April 20, 1999! Crap! I suppose I have to contact the people and pay their ridiculous fees to have my house re-appraised, yada yada… any suggestions? Or is there a different rule that applies to mine? Damn, double damn!

    Atleast I’m with Chase… hopefully their people are a bit smarter than Countrywide!


  2. As far as I can tell, since your loan came before the HPA law (which as far as I can tell doesn’t do anything anyway), you have the right to ask them to drop it, but they don’t have to say yes because it was just “part of the deal” when you signed.

    At the same time, I can’t imagine they’d say no if you’ve paid down enough. I mean, I’d gander that they’d prefer to keep your loan rather than have you re-fi somewhere else… That maybe something to threaten when you ask…

    Either way, it doesn’t sound like a fun battle up ahead…

  3. Ok… well, I’ll see what I can do… I still need to figure out the exact amount I need to have in equity first – I know I must be getting close.

    I want to say they said 20% – but I might be confusing that with the 20% that was needed to go with a conventional loan back when I bought the house (I had to go FHA). I dunno!


  4. Sigh. So, I got my mortgage down to where I have 22% equity vs. the original loan value. According to the HPA, they are supposed to automatically drop the PMI at that point. But Countrywide, now Bank of America, informs me that according to the law they don’t have to drop it until you were SCHEDULED to reach 22% per the original amortization schedule. Tricky, huh?! That’s a great loophole they wrote into that law. Meanwhile I see on CNN this morning that BoA needs another 33 billion dollars to stay afloat?! I guess the good news is that I actually got to speak to someone in the PMI department. That phone number is 800-669-9092 if anybody needs it. Oh, they offered to help me refinance. Granted, I could get a much lower rate now but I’d also be paying them a loan origination fee and the idea here is to NOT pay them anymore money than I have to. I foresee paying off my house early so the rate doesn’t concern me too much, but maybe it should. My mind can only bend so far around numbers.

  5. In the same situation, having paid off more then 22% of Original Loan Value, called them for Cancellation. Got a letter saying I need an appraisal ( although the guy on the phone said it wont be necessary ). Is an appraisal required or not?

    Coincidently, lost 7k in my long term BOA stock investment last year.

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