NAACP files lawsuit against mortgage lenders

13Mar09

 

 

The National Association for the Advancement of Colored People filed separate lawsuits today in the U.S. district court in Los Angeles against mortgage lenders Wells Fargo and HSBC, alleging “systematic, institutionalized racism” in sub-prime mortage lending to African-American borrowers. The suit further asserts African-American borrowers were 30% more likely to be granted mortgage loans from these lenders with higher interest rates versus rates offered to White borrowers with the same qualifications.

Other lenders, including Accredited Home Lenders, Inc., Ameriquest Mortgage Co., Bear Sterns Residential Mortgage Corp. d/b/a Encore Credit, Chase Bank USA, Citimortgage, First Franklin Financial Corp., First Tennessee Bank d/b/a First Horizon National Corp., Fremont Investment & Loan, GMAC Mortgage Group, LLC, GMAC ResCap, Long Beach Mortgage and SunTrust Mortgage, were named in previously filed lawsuits by the 100-year-old advocacy organization. A few have already entered into preliminary settlement discussions. The NAACP is seeking more “accountability and transparency.”     (Image: NAACP President Ben Jealous)

Check out www.financialstability.gov to see if you can refinance or modify your home loan.

Glad someone is standing up for us.

Speak your peace.



%d bloggers like this: