predatory lending and predators and epidemic in America!

[Dott038]

 Here are just a few stories of how bad life has gotten.

1. A woman's husband suddenly falls ill, He is in the hospital for a month fighting for his life. The man passes away. The life insurance will not cover the death, they say he died do to a preexisting condition and that it was not reported.

She scrambles to find away to pay for her husbands funeral, Her only alternative is to take out a loan she went to the  bank to get a second and was denied because her husband was the primary bread winner. So she found some one to give her a loan,unfortunately they were a predatory lender and even though she was going  through what she was they made sure they screwed her over. The person who gave her the loan knew she was distraught and not thinking clearly, Her whole life was falling apart, she was told their would be no life insurance to help support her family and the scum gave her the loan anyway. just not a loan, But a refi on her home at 10% interest. and he said he would defer payments  for 3 month, which he did not and would have lost her home if it wasn't for the kindness of strangers who stepped in and helped her.

A group of people came to together in her community and paid off her Mortgage. and paid for legal expenses. to sue the life insurance company and the mortgage company.

After it was all said and done she want back to school and became an attorney specializing in consumer advocacy law. She understood that for many years her husband handled the finances and she was naive  to the way things worked in the world of finance, She educates families about the importance of both spouse  having equal understanding about finances and about how to protect your self from predatory lending

 This first story was about a family member and she is a great inspiration to me. She did not quit and she chose not to rise above and become an advocate for anyone going through this.

2. A story that  the thousands of people who lost their homes because of a certain bank during Hurricane Catrina. Mortgage offering deferels and other help and recinding on them while they were waiting for help from the government, 

Their are so many others that I can name, of people being take advantage of during hard times in the name of profit, 

Reverse Mortgage lending is another potential big scam and  they prey on people who are going through hard time, Namely our elderly community.  How do people get here well that is easy, another scam that prompts them in having to do reverse Mortgage is Paying for life insurance and when the spouse die's not  paying the life insurance out. I have set my dad up in a situation that if he were to die that my mom would get money every month above social security and nothing is dependent on life insurance. or the stock market. This is important if you have aging parents.

Their are so many more and if you think you cannot be a victim, think again! If you have a home loan and it is sold, You can be a victim of Mortgage fraud. My best advice to people is to refinance with a bank that is not known for selling loans such as credit unions. who make the majority of their money lending funds instead of dealing with buy back bull.The truth is  a bank can profit  even if they foreclose. The first question you ask when you get a loan is DO YOU SELL YOUR LOANS!!  and in the truth in lending if you do not see the estimated payment and APR on the GFE when they send it to you Walk away!!!! This is a good indication that when you go to closing that your interest rate is going to be high and very doubtful that you Will see the disclosure until the day of closing. which is a TILA violation.

I hope this information helps, I see so many people here on Cm who are going through hell due to preadtory lending and I want to be able to give a bit of information on what i have learned dealing with a preadatory lender myself has been awful and even though i was able to prove most everything alot of people can't and they  unjsutly losse their Homes and their credit is destroyed. I urge people to understand that like so many people in the world, You may think you will not be a victim, But chances are that you will at least once in your life time, if you do not go above and beyond of what you know. Because this is a full time job for them. update your knowledge of what is going on in the world frequently and keep up to date on the newest scams. 

[jenniamigo]

bump