RSS Feed
Newsletter
NAACP Stands Against Mortgage Loan Sharks
July 3rd, 2008The civil rights group accuses lenders of preying on African-American borrowers
NAACP chapters nationwide took a stand Wednesday in a national “Day of Action” against discriminatory lending practices of such mortgage giants as Citi, HSBC, WaMu, GMAC and JP Morgan. In addition to agreeing to stop preying on Black borrowers, the nation’s oldest and largest civil rights group wants the companies to make amends for the financial pain they have caused. “Every one of us deserves equal access to the ‘American dream’ of homeownership,” said NAACP Interim General Counsel Angela Ciccolo. “Making amends is just the beginning. We want to make sure African Americans are never victimized by the lending industry again. This discrimination was nationwide and cut across income-levels. People with six-figure incomes, significant down-payments and who had owned several homes before were not immune from being discriminated against because of their race.” The NAACP has filed a class-action lawsuit against 17 major lenders, alleging that “African-American borrowers were given loans with higher interest rates and other poor terms solely because of their race,” according to statement from association spokesman Richard McIntyre. During Wednesday’s simultaneous event, leaders at NAACP chapters in 21 locations – including New York, Chicago, Baltimore, St. Louis, Detroit, Las Vegas, suburban Atlanta, Salt Lake City, Colorado Springs, Reno, Memphis, Seattle and southern California – gathered at lending institutions and in affected neighborhoods to highlight the pervasive and systemic discrimination against African Americans within the mortgage industry and to demand an end to it, the NAACP said in the statement. “The only difference between the victims in this case and other customers is the color of their skin,” said Brian Kabateck, who is co-lead counsel on the suit. “They had the same credit, the same income and the same qualifications. But because they were African American, they were ripped off.” According to the NAACP, recent research, including federal data, proves the rampant discrimination in mortgage lending.
Discrimination in mortgage lending is just another form of the overall racial discrimination that blacks are subjected to on a regular basis in America. Some of you non-black posters are ignorant about this subject or in denial and think that blacks overstate the race problem and that if we just work hard and get an education and don’t commit crimes life is good, but this story and many others like it proves how racism is very institutionalized. We are still charged that “black tax” in many areas of life in America. It is what it is….denial does not make discrimination go away and this is just one form of discrimination.
I attended the event in Durham NC it was a powerful event. Durham Branch president showed a copy of the Herald Sun newspaper and it had a full newspaper page and a half of just foreclosures. I remember when there might be 2 or 3 a week.
We as black people need to slow down and read and get an understanding of what we put our name on READ READ READ READ!!!!!!
Ok, so what was the outcome. Are lenders going to solely look at your place of employment, income, previous rental history and all other info needed to get people (more African Americans) into homeowenership. When is the discriminatory line ever going to be drawn?
LC:
“When is the discriminatory line ever going to be drawn?”
IN OUR NEXT LIFE!!!
Let me say this ….the race problem is mostly vastly overstated…not saying the problem doesn’t exist in our America. It’s not always racism. I seen times where the same thing happen to whites. I feel it mostly come down to class and financial worth. I would love to say THANKS TO THE NAACP FOR STEPPING UP IN THIS SITUATION. It’s so sad to see that this kinda mess has happen once again. Crooks are crooks no matter if one be white or black. I think we as blacks just feel that it’s cause of our race …but thats not always so. This racism will never end …not here on earth…we be dead and gone and racism will yet be rampant. Theres not much to be done….unless we all turn to God and love one another as we should. LETS LOVE GOD PEOPLE!!!
When you think about it, it’s worth the $300-$700 dollars one would spend on a real-estate Lawyer, this way you will know what you are signing, and the after affects. wake up people, this is another way to stop lots of people from getting ahead. Allways think befour signing, a contract of any kind, and never take the word of the people who are giving you the contract to sign.
Jeff Lewis Detroit