Last week, Bank of America launched a new Bank of America Home Loans division, which is essentially a re-branded Countrywide. Along with the launch, however, the bank announced its ‘Clarity Commitment,’ intended to help consumers better understand the terms of the loan they are committing too. (here’s a press release about it)

While I definitely think this is a positive step forward, I’m skeptical about its execution. Banks are certainly not known for making things clear, especially when it comes to home loans. I envision this ‘Clarity Commitment’ document-which is a one-page overview including information like your interest rate, terms and “other details of the loan in plain language”-may still require some explanation from a bank representative, which sort of brings us back to square one. Click on the thumbnail to see a screen grab of the Clarity Commitment (from the site), which may reaffirm my point, as the actual language on the document is too light and small to make out. Hmmmm…

Nevertheless, banks thinking about making things clearer and easier for consumers is absolutely a good thing. Hopefully other banks will take a clue and start thinking about making things clearer and easier for consumers.

It might still be early, but if you’ve had experience with Bank of America Home Loans, why not write a review for others on SmartHippo?