Predatory Lender

(redirected from Predatory Lenders)

Predatory Lender

A lender who makes a loan in the hope or expectation that the borrower will default. A lender may have an incentive to commit predatory lending if he/she receives a commission for each loan made (regardless of creditworthiness), or if the lender easily can bundle and sell the mortgage to a third party, passing on the risk while still profiting. A predatory lender may be an individual or institution. Predatory lending is illegal in many jurisdictions, though the exact definition may vary from place to place.
References in periodicals archive ?
Thus, the reluctance of banks to make subprime loans not only conflicts with the goals of CRA, but also enables predatory lenders to flourish.
It is common practice that predatory lenders have consumers believe that their credit is actually worse than it is," says Joel Greenberg, a board member of AICCCA and president of Garden State Consumer Credit Counseling Inc.
Penalize predatory lenders and use those penalties to help the families they tricked stay in their homes or refinance their mortgages;
In January, under Mulvaneys guidance, the CFPB announced that it would delay the payday lending rule that protects consumers from predatory lenders.
Credit union and banking groups appealed on Wednesday to a federal interagency regulatory panel for a six-month delay in enforcing new rules designed to protect service members from predatory lenders.
com)-- Gil Kerbashian focuses his advocacy efforts on protecting the integrity of the homeownership process and helping consumers that have been wronged by predatory lenders, settlement providers or real estate industry professionals.
A new City Practice Brief on AntiPredatory Lending Ordinances presents examples of anti-predatory loan ordinances enacted locally by cities in order to control predatory lenders.
Trying to control predatory lenders is like playing the Whack-a-Mole game at the local arcade.
Georgia cleaned out its predatory lenders after the Navy threatened to move some bases.
Cook said the Fed also hopes to use the HMDA data to target predatory lenders through an "index of propensity" to making unaffordable loans, which by definition the Fed considers unsafe and unsound.
Predatory lenders have slipped in this clause to take away that fundamental right,'' Margot Saunders, spokeswoman of the National Consumer Law Center, said in a statement.