Michael Thompson wrote:
As for the Greens and "predatory lending": what exactly is "predatory lending?" Seems to me if one doesn't want to pay 10% or 24% or 48% on a loan, the answer is quite simple: don't get the loan. Must we have yet ANOTHER law that protects people from themselves?
Predatory Lending is exactly what it says it is - loans, often by huge companies like Wells Fargo, that are unfair and on abusive terms. These lenders target (prey on) low income and minority home-buyers, and capitalize on these buyers’ lack of knowledge of complicated transactions — or use outright deception — to close loans that lead to a loss of equity or foreclosure. These practices are often concentrated in poor and minority neighborhoods where better loans are not readily available, and the foreclosures and loss of equity can have devastating effects on already fragile communities. As you can see, an anti-predatory lending ordinance is not a "another law to protect people from themselves," but a law to protect our citizens from unfair lending practices by large financial institutions. ACORN (Association of Community Organizations for Reform Now) is leading a nation-wide campaign against Predatory Lending by advocating for legislation, regulation, education and research to end abusive lending practices. There is national legislation pending on this, the Prohibit Predatory Lending Bill (HR 1182) by Mel Watt (head of Congressional Black Caucus), Brad Miller and Barney Frank, that include a whole host of provisions that basically sets a floor so that all Americans would be protected against predatory lending. Back here in the Minne-Apple, we had a proposed ordinance, which was stalled in committee (Intergovernmental Relations Committee, I believe) at the city council, that primarily defined what a “high-cost loan” is and would provide loan counseling to those who may be subject to one. That's it. I had the opportunity to interview Mayor R.T. Rybak on affordable housing issues last year (http://pulsetc.com/article.php?sid=1204), where he is notability weak on Predatory Lending. In 2001, Oakland's anti-predatory lending ordinance was unanimously passed by the Oakland City Council. I do not have the language of our fair city's proposal, but it was my understanding that Oakland's had a little more teeth, which was on the Oakland City Attorney's website but is no longer there. L.A. has a similar ordinance that can be found here: http://www.lacity.org/lahd/175008.pdf. The bottom line is that the city of Minneapolis - and the elected officials who represent us - need to take a stand against Predatory Lending and just say "Not in our city!". We have all the proper elements in place here, even a City Staff Predatory Lending Work Team that's created a nice detailed report on the issue (http://www.ci.minneapolis.mn.us/council/2004-meetings/20040116/docs/16_Pred atory_Lending_Report.pdf). What's lacking is commitment, political will, leadership, and vision from our elected officials in the city to end the predatory lending practice in Minneapolis for good. Aaron Neumann Sheridan Neighborhood, NE Candidate for Minneapolis City Council Ward 3 (Green) Neighbors for Neumann 1828 Marshall St. NE #18 Minneapolis, MN 55418-4211 612.788.1284 [EMAIL PROTECTED] http://VoteNeumann.org "Bridging Diverse Communities" Effective Government * Healthy Environment * Safe Communities * Arts Advocacy "Politics isn't about big money or power games; it's about the improvement of people's lives." - Paul Wellstone ---------------------------------------------------------------------------- ----------------------------------- REMINDERS: 1. Be civil! Please read the NEW RULES at http://www.e-democracy.org/rules. If you think a member is in violation, contact the list manager at [EMAIL PROTECTED] before continuing it on the list. 2. Don't feed the troll! Ignore obvious flame-bait. For state and national discussions see: http://e-democracy.org/discuss.html For external forums, see: http://e-democracy.org/mninteract ________________________________ Minneapolis Issues Forum - A Civil City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[email protected] Subscribe, Un-subscribe, etc. at: http://e-democracy.org/mpls
