Exhibit 10.118

COUNTRYWIDE FINANCIAL CORPORATION  CHANGE IN CONTROL SEVERANCE PLAN  (As Amended and Restated June 24, 2008)

WHEREAS, the Board of Directors (the "Board") of COUNTRYWIDE FINANCIAL CORPORATION, a Delaware corporation (the "Company"), originally
adopted this Plan on September 12, 1996, amended and restated it on February 23, 2005 and subsequently amended and restated it on June 14, 2006, recognizing that the threat of an
unsolicited takeover or other change in control of the Company may occur which can result in significant distractions of its personnel and disrupt the business of the Company with respect to
attracting and retaining employees of every level because of the uncertainties inherent in such a situation; and

WHEREAS,
the Board has determined that it is essential and in the best interests of the Company and its shareholders to be able to retain the services of its personnel at a time when the
Company is considering its strategic alternatives, including possible change in control transactions, in order to ensure their continued dedication and efforts without undue concern for their personal
financial and employment security.

NOW,
THEREFORE, in order to fulfill the above objectives, the following plan has been developed and is hereby adopted.

1.Purpose



2.Contractual Right



3.Duration



---





2

---







3

---







4

---





5.When Provisions Apply





5

---





6.Severance Benefits





6

---





7

---





8

---





9

---





7.Excise Tax



10

---





11

---







8.Successor to Company



12

---





9.Administration



10.Claims Procedures



13

---





14

---





11.Amendment and Plan Termination



12.Employment Status/Waiver of Rights



15

---





13.Notices



14.Severability



15.Governing Law



16.Code Section 409A



16

---





IN
WITNESS WHEREOF, the Board of Directors having amended this Plan at its meeting of June 24, 2008 has caused this Amendment and Restatement to be executed this 24th day
of June, 2008.

COUNTRYWIDE
FINANCIAL CORPORATION

By:

/s/LEORA I. GORENTitle:

Senior Managing Director,
Chief Human Resources OfficerAttest:

/s/BECKY BAILEY


17

---





APPENDIX A

Eligible Employee
Classifications

MembersX

Senior Managing Directors and aboveA

Managing DirectorsB

Executive Vice Presidents, Senior Vice Presidents, PresidentsC

First Vice Presidents, Vice Presidents, Regional Vice Presidents, CSC Directors, Branch ManagersD

All other Exempt EmployeesE

All Non-Exempt Employees


Salary Separation Payment

The Salary Separation Payment to which a Participant is entitled shall be based on the Participant's employee classification as of the
date immediately preceding the date of the Participant's Qualifying Termination or, if greater, as of the date on which the Change in Control occurs, and shall equal the amount described in the table
below:

Employee
Classifications

Salary Separation PaymentX

Three (3) years Base Pay (as defined in Section 6.1(a)) plus 300% Bonus (as defined in Section 6.1(a))A

Two (2) years Base Pay (as defined in Section 6.1(a)) plus 200% Bonus (as defined in Section 6.1(a)).B

One (1) year Base Pay plus 100% Bonus.C

Two (2) weeks Pay for each full year of service from first hire date with a minimum payment of eight (8) weeks Pay and a maximum payment of
twenty-six (26) weeks Pay.D

(2) weeks Pay for each full year of service from first hire date with a minimum payment of two (2) weeks Pay and a maximum payment of twelve
(12) weeks Pay.E

Two (2) weeks Pay from first hire date with a minimum payment of two (2) weeks Pay and a maximum payment of eight (8) weeks
Pay.


---



QuickLinks