Preserving the American Dream: Predatory Lending Practices and Home Foreclosures: Hearing Before the Committee on Banking, Housing
by
United States Congress Senate
Original publisher: Washington: U.S. G.P.O., 2009. LC Number: KF26 .B39 2007k OCLC Number: (OCoLC)554702874 Subject: Subprime mortgage loans -- ...
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Original publisher: Washington: U.S. G.P.O., 2009. LC Number: KF26 .B39 2007k OCLC Number: (OCoLC)554702874 Subject: Subprime mortgage loans -- Corrupt practices -- United States. Excerpt: ... 11 derpaid soldiers are just victimized by vultures of whatever race all over our Nation. So when you lose 3 million manufacturing jobs, you don't just need literacy. You need a job that can pay your mortgage. The ghetto barrio established as an enclave or institution built on race, exclusion and exploitation. It required open housing laws to relieve pressure on the overcrowding and create housing options. There remains a zone of high taxes and low services, second-class schools and first-class jails, zip codes that are unprotected by law. It is a fertile land for predators, financed by banks. Banks lock you out based on credit score and zip code, and market exploiters, pay-day lenders, swoop in like vultures. We need Federal protection. The help of CRA on the front side is a good thing. But then when banks finance predators on the back side, they offset CRA. Many players in the home mortgage industry are given a green light to engage in predatory schemes to redline against the poor and people of color. Predatory lending practices such as subprime loans are the largest threat to wealth accumulation. Practices in-clude steering, placing borrowers into higher-priced loans than those for which they qualify; steering of prime, placing black and brown borrowers into high-cost subprime loans; prepayment pen-alties, fees incurred by borrowers for paying a loan off early; yield spread premium, broker kickbacks for steering borrowers into high-priced loans; no-fault repayment ability, failure to escrow for prop-erty taxes, low documentation loans. Today, I pray the Senate Banking Committee does not, A, blame the victims who work harder and make less, pay more for less, live under stress, and don't live as long, or suggest a mere increase in disclosure forms. I respectfully sugge...
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