The statistics are shocking. The current mortgage crisis is expected to result in the foreclosure of 3 million homes. In Stockton, CA, one in every 27 homes has been hit by the foreclosure crisis. And, Countryside, the largest U.S. mortgage lender, just released
figures showing that foreclosures and late payments rose in December to
the highest on record. Calls to helplines by homeowners facing
foreclosure have skyrocketed. As a corollary, local animal shelters are seeing a sharp increase in intake due to owners having to surrender family pets when they lose their homes.
the problems of predatory lending industry a few weeks ago and now, problems
are coming to light with the student loan industry. In one of the more
egregious examples, Student Loan Express, a student loan company that is a
unit of CIT Group, Inc, is alleged to
more than $21,000 for Johns Hopkins University's director of student
financial services to attend graduate school. Coincidentally (or not),
Student Loan Express happens to be on the preferred lender list at Johns
David Sirota notes how wrong the right-wing is on issues of predatory lending. In state after state, corporate conservative leadership is responsible for killing bills to regulate the usurious industry.
North Carolina was the first state to pass a law reining in shady
predatory lending practices, such as steep prepayment penalties,
balloon payments and the sale of high-cost loans to borrowers who could
qualify for lower rates. Soon a number of other states followed with
similar laws and the result, according to a new study, is that homeowners now save $9.1 billion per year.
If you've read PLAN's report on how the right-wing operates in the states, Rep. Earl Ehrhart's name probably rings a bell. The Georgia legislator is a past chairman of ALEC and takes the cake for his unsurpassed willingness to loudly and proudly announce his desire to work for the corporate interests who line his pockets.
So it shouldn't be too surprising to read today in the Atlanta Journal-Constitution that Rep.